It's too low level, I think, to not pass on the curse of cursed items, but keep their benefits. That should be a much higher level effect (7th or so, perhaps), and quite possibly require an expensive material or xp component in addition. Lower level versions are fine to pass on both curse and benefits.

You should also be able to transfer properties to other types of items with the same affinity. For instance, an intelligence bonus to either a head or a face slot, a resistance bonus to body, rings, shoulders, or torso, etc.

A slightly higher level version (4th or 5th) might be able to transfer to non-affinity slots, at a material component cost equivalent (or close to equivalent) to the price difference of enchanting a non-affinity slot.

That higher level version may also be reasonable to allow it to transfer only part of an enchantment, letting you split up enchantments. Or allow targeting of an already-magical item to combine them, again using a material component cost equivalent to the price difference you would pay to have the enchantments combined in the first place.