Anyone who is selling a home will have heard of the Home Information Pack or HIP as it is also known. These are relating to the property that you are selling and they are now compulsory for the majority of homes that are on the market for sale in England and Wales. As from 6th April 2009 there are certain documents that must be contained within the HIP from the first day that it goes on the market, and below is a list of the compulsory and optional document that a HIP can contain:
Compulsory Documents
• An index which lists all documentation within the HIP.
• PIQ or Property Information Questionnaire.
• EPC or Energy Performance Certificate.
• For new build homes – a document referring to sustainability information.
• Evidence of title.
• Sale statement.
Documents which are compulsory but which can be included up to 28 days after the property has gone on the market for sale.
• A copy of the lease – this only applies to properties which are leasehold.
• Commonhold documents, if applicable.
• Standard searches which include drainage and water searches and any local authority searches.
Optional documents
• Home Condition Report.
• A home contents and use forms – these include information relating to the boundaries of the property, any planning permissions, any part of the property they shared with neighbours and any notices that been served on the property.
• Any guarantees or warranties for work that has been carried out on the property such as cavity wall insulation or damp proofing.
There are of course properties which can be marketed for sale which do not require a HIP, if your property falls into the following categories it will not need a Home Information Pack.
• Any mixed sales – these are properties which have a shop, usually downstairs with a flat above.
• Properties which are used as holiday accommodation or are occupied for fewer than 11 months each year.
• Properties which are non-residential.
• Properties which are not what the market for sale i.e. they are sold to a family member or friend.
• Properties which are due to be demolished or which are unsafe.
• Any ‘Right to Buy’ ‘Social HomeBuy’ or ‘Right to Acquire’ properties.
• Properties which are not a vacant possession and have a sitting tenant.
If you are selling a property you can employ someone else to create the HIP for you, such as a solicitor, a HIP provider or your estate agent or you can choose to compile the documents yourself. It is entirely up to you who you choose to create the HIP, just make sure that all compulsory the documents are available.
Whilst it may seem like tiresome paperwork to have a HIP created is actually beneficial for the seller as potential buyers can see all the information relating to property at the same time. This will then enable them to make a faster decision on putting in an offer on the property and they also help to dramatically speed up the sales process. For more information on HIPs or EPCs contact CR Energy who will be able to advise you further.
Crenergy: Commercial EPC, Domestic EPC, EPC, Energy Performance Certificates, Display Energy Certificates for Commercial buildings and residential buildings. For more information please visit: http://www.crenergy.co.uk.
Article Source: http://EzineArticles.com/?expert=Alexis_Twigg
An unpublished report commissioned by the Department for Communities and Local Government has surfaced and brings another round of embarrassment to the governments’ Home Information Packs (HIPs).
The report was uncovered by the shadow ministers Eric Pickles and Theresa May after a series of parliamentary questions.
HIPs have been under fire from a variety of sources since their introduction last year including strong opposition from The National Association of Estate Agents (NAEA) and the Royal Institution of Chartered Surveyors (RICS).
The packs can cost the seller up to £600 and contain various details and certifications of the property including an energy performance certificate, the sale statement and the evidence of title. All houses on the market are legally required to have a pack compiled or face large fines.
Named, Home Information Packs: A presentation of research findings, the report found widespread dislike of the packs amongst buyers, sellers and estate agents. Market researchers GFK NOP asked around 4000 people either selling or buying a home their opinions and found “a lack of engagement, experience and interest”.
Because both parties “don’t see the purpose” of the packs “neither buyers or sellers are proactively enquiring about HIPs” it was found.
Estate agents were also sceptical with most viewing the packs as at best an irrelevance and at worst an actual hindrance to house sales. Many described the packs as a “waste of time”.
Despite spending nearly £1 million on an information campaign to explain the necessity and purpose of the packs, the report found that many people didn’t have sufficient knowledge or interest in HIPs.
The packs suffered a major setback early in their existence when a legal challenge by RICS delayed the launch for over two months. At the time Communities Secretary Ruth Kelly blamed the difficulties of swaying public opinion on the packs on a “disinformation” campaign by opponents within the industry.
Grant Shapps, the shadow housing minister, has been a long-time opponent of HIPs and claimed vindication after this current leaked report.
“The Government has been caught red handed trying to hide a damning indictment of this pointless and expensive red tape. One year on, the public don’t trust the paper these packs are written on.” Said Shapps.
The government also faced sharp criticism this week from property developer Brian Lewis founder of Dixons estate agency. After his company Pimlico Homes was forced into liquidation Mr Lewis lashed out at the lack of new houses being built and forecast that this would have an unprecedented effect on the conveyancing sector.
“The Government is losing billions of pounds in revenue because estate agents aren’t selling, solicitors aren’t conveyancing, removal companies aren’t moving – the knock on effects are massive.” He said.
Article Source: http://EzineArticles.com/?expert=Darrell_Joyce
