The 1st August 2007 saw a new dawn in the Buying and Selling process for properties in England and Wales. New Government legislation became effective from this date with the requirement that all four bedroom properties have a Home Information Pack or HIP as they are commonly referred to.

The intention is to phase HIPS in so that all properties are required to have one before marketing commences. The implementation date for all three bedroom properties is September 10th 2007 with all other properties expected to be covered by the end of the year.

So what is a HIP and why has the legislation been introduced?

Some ten years or so ago ministers began to look into ways to speed up the process of buying and selling property. They wanted to reduce the time and costs involved and try to decrease the number of aborted sales. Various blueprints were put forward and indeed a pilot scheme even ran in the Bristol area in 1999.

In its present day form the HIP is a Pack containing documents relating to the property, local search results and an Energy Performance Certificate. 

What’s in a HIP?

The HIP contains the following Compulsory documents:

Energy Performance Certificate - This will advise of the energy efficiency of the property and grade the property on an A-G scale, much like domestic appliances you buy for your home.

Sale Statement – This is a summary of the terms of the sale

Searches – This includes a Local Authority search, the drainage search and a water search

Evidence of title – This explains the information held about the property at the Land Registry and ensures evidence of the title of the property.

Leasehold and commonhold documents – Mainly applicable to flats, apartments and maisonettes although some houses can be leasehold.

New Homes Warranty (if applicable) – This is only needed if a property is new home bought straight from plan.

Home Information Pack Index - A list of documents within the HIP.

The following are optional information

Home Condition Reports (HCR) – This is a survey of the property.

Work Carried Out – Evidence of any works carried out as a result of the information ascertained from the HCR

Fixtures & Fittings Form – As it says

Can properties be marketed without a HIP ?

The answer is no, not legally! There are fines for those who fail to comply. However certainly until the end of this year you can market the property as long as you have ordered the HIP.

How do you get a HIP ?

We have teamed up with On the Move to provide you with a home information pack. They are accessible, competively priced and can offer a quick turnaround from instruction to production.

Of course you can choose whoever you wish to supply you with a HIP and we will still be able to market your property.

How much does it cost?

It varys on the information needed to complete the pack but for most freehold properties it should be no more than £400 plus VAT. Contact us for further information.

The Home Information Packs are still a new animal for many Estate Agents, however we were pleased to be part of the governments trial earlier this year so have nearly a years experience of Home Information packs already. So if you have any questions or queries please feel free to contact any one of our teams.