Home Information Packs (HIPs)
HIPs became compulsory for four bedroom houses put on the market on or after 1st August 2007. 3 bedroom houses were included from September 10th 2007 and one and two bedroom properties from 14th December 2007. Properties that were on the market before these dates do not require a HIP at the moment as long as they are continuously on the market. At the moment properties may be marketed once the HIP has been ordered.
The HIP aims to reduce the stress of buying and selling by providing key documents at the time a property is put on the market rather than becoming available after an offer is made.
A HIP contains important information about a property, its energy efficiency, boundary ownership and planning permissions.
Compulsory documents include
- An index
- An Energy Performance Certificate (EPC)
- A Sale Statement (summarising the terms of sale)
- Evidence of title
- Standard searches (e.g. local authority enquiries and a drainage and water search)
- Where appropriate, commonhold information
- Where appropriate, leasehold information.
Optional documents that can be provided as part of a
HIP.
- A Home Condition report (HCR)
- A legal summary
- Guarantees and warranties.
- Other searches relevant to the particular area.
- A Home Use Form
- A Home Contents Form and additional relevant information.
Who provides the HIP
The seller or his agent is responsible for seeing a HIP is in place. A number of organisations including estate agents, lenders, conveyancers and specialist Pack providers offer HIPs to buyers and sellers.
The Energy Performance Certificate
EPCs tell home buyers and sellers about a home's energy efficiency - using A to G ratings, like those used to rate fridges and washing machines. As soon as it has been received, the EPC should be made available to potential buyers. The Certificate will make recommendations to help cut fuel bills and carbon emissions.
Costs
These will vary depending on the size of the property and the complexity of legal documentation. For the average property with registered title the Government expect a basic pack to cost about £350.00. Apart from the EPC most of the cost of the Pack already exists in the home buying and selling process.
Further information is available from http://www.homeinformationpacks.gov.uk/home.aspx
or from your local Symonds & Sampson LLP office.
24.09.07 taken from Communities and Local Government pamphlet 'Home Buyers and Sellers Guide to Home Information Packs' updated by Symonds and Sampson LLP 13.02.08