What will a HIP need to contain?
The HIP will contain all of the documents and searches usually supplied to a buyer
as the sale progresses. These are now, however, provided in advance by the vendor
at the time the property is first marketed and before a sale offer is agreed. The
HIP will also contain a new type of report stating how energy efficient the property
is. This will be called an Energy Performance Certificate. These are all mandatory
contents of the HIP..
In addition the HIP can also include an optional home condition report (HCR) The
report is only concerned with construction defects and building condition. Home
condition Reports must be complete objective and satisfy relevant codes of practice
and standards These were also to be mandatory but the Government have now decided
they may be regarded as an optional extra at least for the time being.
Who will pay for the HIP to be prepared?
Your Team agent will underwrite the costs upfront and usually you will only be responsible
for payment when you move or withdraw your home from the market.
Can I sell my home without a HIP?
Whether selling privately or through an estate agent, all 3 and 4 bedroom properties
must now have a HIP by law. It is anticipated that by the end of 2007 the Government
will have included all residential properties in the legislation. You cannot market
any qualifying property, even informally, without a HIP.
How long will it take to compile my HIP?
Team estate agents have access to a solution driven by innovative technology and
underwritten by service guarantees. For a registered freehold title we would expect
to complete the HIP within five days of receiving your instruction to sell.
Does That include the Home Condition Inspection, if required?
Yes, the HCR will now be an optional extra which we can supply if required.
What are these changes intended to achieve?
The intention of the legislation is to bring more transparency to the home buying
and selling process so that any potential buyers of any qualifying property coming
to the market after 1 August 2007 will have access to a pack containing all of the
information they or their advisers may need to see before an offer is made and accepted.
How do I obtain a HIP?
If you are intending to instruct a Team agent then the answer is simple. Leave it
all to us. We will do everything for you as part of our service to you.
How much will all this cost?
It will cost you NOTHING to put your house on the market. In fact with some of our
schemes you ONLY pay if you move or withdraw your instruction. Ask your Team agent
for further details.
What have I got to lose?
If you instruct a Team agent to sell your house then not much! If you instruct another
agent it could cost you your dream move!
What are the advantages of including a HCR now that it is NOT compulsory?
The HCR will be available at slightly higher cost than the basic HIP, probably another
£200 to £300 or so. The HCR will identify for the seller before he commences
marketing his property whether or not there are any defects which need to be addressed
or taken into account when setting the selling price. The report may also help the
agent to achieve a better price or ensure any offers that are made are done so on
the basis of the contents of the report with no nasty surprises further down the
line. This could definitely prove to be money well spent.
For more information on team HIPs and Conveyancing,