• Mortgage Completed But Ownership Not Changed

    By Guest on 26th Oct 2017

    Mortgage was held in three names; property was remortgaged into one name removing two names from the mortgage; mortgage completed; 3% stamp duty paid as ownership change equalled a purchase; lender’s conveyancer did not inform Land Registry / submit TR1 application before deadline so property still held in three names; mortgage now held in one name.

    is this a big problem?
    who is liable?
    what happens if previous two who were party to mortgage refuse to resign TR1?
    would stamp duty be refunded as no ownership changed?

    thanks for any help.

  • 2 Answers

    By Guest on 02/11/2017

    Did the mortgage company use their own solicitors or did you pay for your own? the new charge (mortgage) should have been registered when the original one was redeemed. the solicitor acting for the lender should have done this. how long ago was it? The TR1 should have been executed by all parties prior to completion of the transaction.

  • By Guest on 02/11/2017

    Thank you for your response.

    The Mortgage company used their own solicitor and due to general incompetence on their part, they have failed to register the YR1 with the Land Registry.

    The property is now still owned by the original three parties (myself and two others) but the mortgage is in my name only.

    Do you know if the 3% stamp duty paid would be refunded now that there has been no change of ownership / purchase?

    Does this leave the mortgage company exposed from a risk perspective, given they appear to now only own 33% of the property with the two owners that haven’t been removed still having ownership of the property?

    I’m rather confused as to liability and / or the risk involved to myself or the other two owners.

    Thanks again.

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