Home Information Packs - HIPs click for more details
	The Government believes that the current home buying and selling process is wasteful and fraught with delay, resulting in high rates of failed transactions. To enable buyers to make informed decisions before putting in any offers and to improve the process, the government has indicated that Home Information Packs will be introduced on a voluntary basis from the summer of 2006. What is a Home Information Pack? A Home information Pack is a dossier of information about a property that is being marketed for sale. On 31st October 2005, the ODPM(now DCLG) published the Home Information Pack Draft Regulations. You can download a full copy of the draft regulations and consultation documents and find out more on the ODPM(now DCLG)'s views in relation to this topic from the ODPM(now DCLG)'s website at www.odpm,gov.uk. Part 3 and the Schedules to the Draft Regulations provide a full listing of the types of documents and information which are either "Required" or "Authorised". Documents which do not fall into either category must not be included in the HIP but may be provided to potential buyers separately from the HIP. The ODPM(now DCLG) envisages that each HIP document will be branded with their HIP logo. The proposed documents to be contained in the HIP essentially are:-   Home Information Pack Index Statement of Sale An uncompleted Home Contents form An uncompleted Home Use form Evidence of Title Commonhold Information if the property includes the whole or part of a freehold estate in commonhold land Leasehold information if the property interest includes the whole or part of a leasehold interest Local Authority Search (Con29) Drainage Search (Con 29 DW) Local Land Charges Search (based on form LLC1) Copies of any warranties or guarantees Copies of any current planning applications/permissions and Building Control Certificates Energy Performance Certificate    The ODPM(now DCLG)'s consultation period on the draft regulations ends on 30th December 2005 and it is anticipated that the regulations will be finalised and published in early 2006. How will these packs improve the sale process? Under the current structure, much of the important information only comes to light after the sale process has begun. This can lead to the buyer pulling out of the sale, often late in the day and after paying out huge amounts in fees. The government's objective is that a HIP will enable potential buyers to make more informed decisions. How will the scheme work? Under the new Housing Act 2004, from 2007 home owners or their agents will be required to have a home information pack when marketing their property and will also be required to make a copy of the pack available to prospective buyers on request. Home Inspectors will have to be accredited by a certification scheme. It will also require estate agents marketing homes for sale, to belong to an approved redress scheme The Law Society's Position On 27th October 2005 the Law Society announced that it will be developing an online product to enable conveyancing solicitors in England and Wales to prepare HIPs. According to the Law Society's President, Kevin Martin : "The Law Society's pack will have numerous advantages; these include a fast efficient online service which will require nothing more than a PC and an internet connection. The pack will be fully compliant with government's HIP regulations and will be competitively priced." "I want to emphasise the point that the regulations have not yet been published. We do not know what will be the prescribed content of the packs, but things are becoming clearer. As a result, the full specification of the Law Society HIP will be settled over the coming months - once the Regulations become available." Mountain Software's HIPs software Mountain Software is keeping a close watch on the position in respect of the HIP regulations and is currently developing software to provide solicitors with the tools to help them produce and distribute HIPs quickly and efficiently in line with the legislative requirements. If you would like information about this, please contact us as detailed below. ODPM (now DCLG) Web Site The official Home Information Pack website Solicitor Sales Grantham: 01476 573718 sales@mountainsoftware.co.uk

HIPs - LATEST NEWS

The removal of the Home Condition Report from the Home Information Pack, recently announced by the Government, will place renewed emphasis on the Energy Performance Certificate. June this year will see a HIP being produced as part of a phased rollout that is already taking place but it will focus on searches and energy performance information. The aim is to enable buyers and sellers to achieve an 'A-G' rating on their properties similar to that already in place for domestic appliances such as fridges and washing machines. Guidance will also be made available helping people to cut their fuel bills and carbon emissions at the same time. So, it is still important for Conveyancers and their firms to look at how their services are currently being delivered to the market and where necessary, implement change. If you would like to know more about e-conveyancing and how our existing software can help your practice, please contact sales on (01476) 581784 or email sales@mountainsoftware.co.uk