What's all this talk about Home Information Packs?
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HIPs (as they are known) are the latest government ploy to get our money - via VAT at the very least. From 1 June this year every vendor (someone selling their property) has to prepare (or have prepared at a cost) a Home Information Pack that gives details about property. The cost of this pack is between £300-£1000 according to size, price etc. It is supposed to save guzzumping and make the sale go through quicker.
Properties put on the market before 1 June are exempt from HIPs. However, if the property is not sold by 1 January 2008 then they will have to get a HIP prepared.
Hopefully the government will come to their senses before 1 June and save everyone a lot of money!!
The home information pack is bourne out of the housing act 1994 and before that was one of Labour's original manifesto pledges. They will come into force on 1st June this year.
The are a bundle of info about a property being sold and must be compiled buy or on behalf of the seller before the house goes on the market.
A pack will contain evidence of title, land searches and an energy performance certificate which says how energy efficient the house is and what can be done to improve it.
It can also contain a home condition report (similar but more objective than a home buyers survey). But this is optional.
The survey parts (energy and condition) will be collated by recently trained inspectors.
The packs are designed to stop buyers wasting money when a sale falls through because of a seller deciding to sell to some one else or not selling at all. They will cost between 300 and 600 pounds.
depending on which paper you read you will hear many myths.
The packs will not cost £1000 unless you live in a mansion.
All energy assessors and home inspectors will be CRB and DVLA checked and fully insured againts being sued.
The cost of a pack is tiny in comparison to the money currently paid to estate agents and soliciotors.
Yes, sellers will have to pay for the packs but most sellers are also buyers and so will benefit in thos respect.
Estate agents don't like them because they will have to be regulated.
Surveyors dont like them because the public will see that we have been paying a fortune for a load of waffle in the past. The new home condition reports will tell you exactly what the condition of a house is with no waffle.
All in all they are a good thing...
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