Hello
Currently, the property is owned by the husband and an adult child as “Joint Tenants”, and there is a mortgage.
The wife cannot have her name included on the title deeds due to the mortgage provider only allowing 2 people to be named on the title deeds.
All three live at the same address and do not own any other property.
All 3 above have agreed to sign a declaration of trust that says (among other things) that all 3 are beneficiaries and therefore own different percentages of the property.
Obviously, form SEV needs to be completed to change the ownership from joint tenants to tenants in common.
What wording would one use to put a restriction is the title register, which says that a declaration of trust is active and needs to be adhered to before the property can be sold, essentially to protect the interests of the wife? That is, the property cannot be sold, etc. unless the wife gives her written consent.
Thanks
You’ll find the Land Registry guidance on restrictions at:
Land Reg Guidance
There are standard restrictions that must be used in certain circumstances, but I don’t think this is one of them. The wording below should cover it:
No disposition by the proprietors of the registered estate is to be registered unless one or more of them makes a statutory declaration or statement of truth, or their conveyancer gives a certificate, that the disposition is in accordance with the Trust Deed known as [Deed’s Name] dated [Date] made between (1) [Name] (2) [Name] (3) [Name] or some variation thereof referred to in the declaration, statement or certificate.
1 Like
Ok
Would the DOT (Declaaration Of Trust) still be valid and binding if it wasn’t mentioned anywhere on the Title Deeds of the property?
Thanks
Yes. But no buyer would be fixed with notice of it so would buy free from it. Your non-title client would, of course, have an action for breach of trust against the registered proprietors if they sold without accounting for the proceeds.
BTW reflecting on the suggested terms of the restriction, it might be better for the certificate to be signed by a conveyancer or the non-registered beneficiary (ie remove the right of the two registered proprietors to sign the certificate.
1 Like