Transfer Deed Flashcards
What is the buyers checklist before completion?
- draft the transfer deed for the seller’s solicitor’s approval
- once approved by the seller’s solicitor, arrange for the buyer to sign if it contains indemnity covenants (or any other obligation on the part of the buyer)
- if the buyer is taking a mortgage loan, arrange for the buyer to execute the legal charge
- send requisitions on title to the seller’s solicitor
- carry out relevant pre-completion searches
- send certificate of title to the lender, and request the loan advance in time for completion (usually to arrive the day before)
- send the buyer a statement of money needed to complete the purchase
- Stamp Duty Land Tax form approved by client
What is the seller’s checklist before completion?
- approve the transfer deed drafted by the buyer’s solicitor
- arrange for the transfer to be executed by the seller
- reply to requisitions on title
- request a redemption statement from the seller’s lender (if any)
- in a residential sale, ask the seller or agent to take final meter readings
Who drafts the transfer deed under the SCS and SCPC?
The default position is that the buyers solicitor drafts the transfer deed.
However, in recent years, it has become more common for the seller’s solicitor to draft the contract and transfer deed at the same time.
What is a TR1?
It transfers the whole of a freehold or leasehold title.
What is a TP1?
This is used to transfer part only of a registered title.
What is a TR5?
This is used for the transfer of a portfolio of registered titled (and may include unregistered titles).
When is the date put on the transfer deed?
Handwritten in on completion, which has the effect of completing the deed.
What should be included in the transferor(s) section of the transfer deed?
This will usually be the registered proprietor of the property. If the seller’s name is different than it was when they brought the property, the marriage certificate should be provided. The buyer’s solicitor will need this proof for the LR application.
If a second trustee is appointed for a sole surviving tenant in common, their details will go here as well.
What is the maximum number of transferees that can be named in the transfer deed?
Maximum of 4 people or 4 companies.
Where should information regarding beneficial title be stated in the transfer deed?
In the declaration of trust panel. There are tick boxes for the transferees to hold as beneficial joint tenants and tenants in common.
What matters need to be included in the `additional provisions’ panel?
Any indemnity covenant for a positive covenant, or new covenants and easements.
If the transferor is a sole surviving tenant in common, the appointment of a second trustee would appear here.
When must a transferee execute the transfer deed?
If they are tenants in common or agree to hold the property on trust for someone else in Panel 10
OR
If they are providing an indemnity covenant or any other obligation in Panel 11.
When is the transfer deed considered delivered?
When it is dated usually by the transferor’s solicitor.
How does an individual execute a transfer deed?
The individual signs it in the presence of an independent witness.
How does a company execute a transfer deed?
It is best to check if the company has a policy on executing deeds, so that you know which attestation clause is appropriate
Options include:
- Company seal attached in accordance with the company’s articles of association, eg, a signature by one or two authorised signatories
- No company seal, but signed by two directors or one director and the company secretary
- Signed by one company director and witnessed by an independent witness
- Signed by a senior employee (not a director or the company secretary) who is authorised under a power of attorne
