Do I Need A Home Information Pack

Home Information Packs are mandatory on all residential properties being marketed for sale.

Interim Period

If a property was on the market before the HIP implementation day and has not yet sold the Seller does not have to provide a HIP. The implementation dates depends on the number of bedrooms that a property has and are as follows:

All residential properties being marketed for sale now require a Home Information Pack at the point marketing begins unless exempt (see below).

Home Information Pack Exemptions

There are some exemptions to the regulations and Sellers should seek advice from a qualified property lawyer prior to marketing to assess whether a Home Information Pack is required. The exemptions are set out briefly below:

• Business Use - properties that are classed as a business under the planning regulations and that will remain a business at legal completion
• Residential property converted to business use - a dwelling that has been converted with the appropriate planning consent to business use and that will still have business use at legal completion
• Properties not sold with vacant posession - properties that are tenanted prior to and at the time of transfer of sale.
• Mixed Commercial/Residential Sales - properties that are a mixture of business and residential i.e. a shop with a flat above
• Dual Use - properties that are used for both business and residential purposes i.e. a Doctor's surgery with living accommodation
• Portfolios of Properties - a number of properties that are being sold together as a portfolio
• Unsafe Properties - properties that have been deemed unsafe for habitation by the planning authority and that will remain in that condition on legal completion
• Demolition - property that has a demolition order on it and that will remain in that condition on legal completion
• Properties not being placed on the Open Market - property that is sold by landlords to existing tenants (i.e. right to buy and housing associations), property sold to friends/family etc. that has never been placed on the open market

Overview of Home Information Packs

The Home Information Pack (HIP) has been introduced by the Government to provide prospective buyers with important information about any property they are considering buying at the start of the process. The information in a HIP covers matters such as evidence of ownership, replies to searches and enquiries made by solicitors, as well as the energy efficiency of the property being sold, which is covered by issue of an Energy Performance Certificate. Essentially, HIPs move much of the initial administration in house buying away from the buyer and to the seller, aiming to cut out waste and make the selling/buying process more efficient.

The required documents are:

• An index (i.e. a list of the contents of the Pack)
• A sale statement (summarising terms of sale)
• Evidence of title
• Standard searches (i.e. local authority enquiries and a drainage and water search)
• An Energy Performance Certificate
• Where appropriate, commonhold information (including a copy of the commonhold community statement)
• Where appropriate, leasehold information (including a copy of the lease, information on service charges and insurance)
• Where appropriate, a New Homes Warranty
• Where appropriate, a report on a home that is not physically complete

Parklane can arrange the HIP at a cost of £275 + vat upfront payment or £315 + vat deferred for up to 10 Months.