It's RIP to the HIP

The abolition of HIPs (Home Information Packs) proposed by the new coalition Government should make it clear who is responsible for what and avoid delays in bringing properties to market says Helen James of the firm's residential property team.

“HIPs have not been generally popular among buyers or sellers,” says Helen. “Sellers regard them as a waste of money, delaying the speed at which they can market and buyers view them as inadequate.”

The introduction of HIPs in 2007 created confusion among buyers because many thought the HIPs covered everything they needed, says Helen: “We frequently have to explain that buyers still have to pay for additional searches not contained in the HIP, and also that we often have to re-do the local authority search because the HIP contains a personal search and lenders will generally only accept official searches.”

It’s also rare for buyers to look at the HIP before they make their offer, unless they have been bitten by a problem in a previous purchase, because at that stage they don’t usually have any legal representation.

Adds Helen: “On the whole, the abolition should make it clearer who is responsible for what, essentially the position will revert to the buyers being responsible for all searches, and should avoid delays in sellers being able to market.”

The Energy Performance Certificate part of the HIPs, which shows the energy efficiency of a property, is likely to remain as it conforms with European law.

Barr Ellison’s conveyancing team can be reached at 01223 417200.

The information given in this article is of a general nature only and should not be considered as advice applicable to any particular situation for which specific request should be made to us.

"I would like to thank Sarah Payne for her patient and professional approach. It took away a lot of the stress knowing that my case was in more than capable hands."
Caroline Turner, Checkendon

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