An Overview of HIP

Home Information Pack is a collection of some important dossiers that must be commissioned before selling a property in the open market. HIP has been made mandatory in the year 2004 by the UK government for simplifying the transaction procedure of the UK property market. In short, home information pack contains some basic information about a property that is going to be sold. It helps a possible buyer to get some necessary information related to that property in advance that will certainly help him to take a prudent decision. Furthermore, it also helps to dispel any doubt of an expected buyer.

Some important aspects of Home Information Pack

v If a seller fails to furnish a Home Information pack to a possible buyer, he can be penalized up to £200.

v Home Information Pack can be provided either by a real estate agent or by an independent seller.

v Homes with more than three bedrooms are subjected to the provisions of Housing Act 2004.

v In order to accelerate property transaction procedure, Property Information Questionnaire will be included that will certainly prove helpful for both the buyers and the sellers.

The Compulsory Documents of a Home Information Pack

Below are the compulsory documents that must be provided to a possible buyer prior to the commercializing of a property:

v A Sales Statement

v An Energy Performance Certificate

v Information on commonhold and leasehold sales

v If it is newly built property, nil-rated certificate is needed
v Information about drainage system and local authority

v Evidence of Title

v A report on the current condition of a property

Optional Documents of a Home Information Pack:

Some other documents may be required if the property is hold under a lease. Some of these documents are:

v Receipts and details of various service charges

v Details of the payments and insurance policy

v Contact details of the Management Company or property owner

More Information on Energy Performance Certificate and Home Condition Certificate:

Energy Performance Certificate: The energy efficiency of a building can be assessed by perusing an Energy Performance Certificate. Besides giving grades to buildings after examining their energy efficiency reports, “Energy Performance Certificate” also advises a person how to cut down the emission of CO2. This will certainly assist a person to bring down the energy charges.

Home Condition Report: The defects, age, character, location and other details pertained to a property can be collated by viewing a Home Condition Report. This is the reason why the importance of home condition report is spiraling up. The UK government is working in collaboration with the famous Royal Institute of Chartered Surveyors for introducing a new and easy format of Home Condition Report.

The Cost of Home Information Pack:

The cost of HIP can be varied depending on various factors. One can consult with a HIP consultant or Home Information Pack provider for gaining further knowledge. It has been observed that the cost of HIP usually ranges between £300 and £600.



Real Estate Professionals