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Home > HIPS FAQs
HIPS FAQs

1. Do we need a HIP?
You do NOT need a Home Information Pack for:
Non-residential properties
Properties where there is no marketing (e.g. sale to member of your family)
Holiday or Seasonal accommodation
Mixed sales (e.g. shop with flat)
Right to buy and similar sales
Sales of portfolios of properties
Properties not being sold with completely vacant possession
Unsafe properties and properties to be demolished.
2. What is in a HIP?
The mandatory documents are:
An index (this should be a list of the contents of the HIP)
A sale statement (summarising the terms of sale)
Evidence of title
Standard searches (local authority enquiries & a drainage and water search)
An Energy Performance Certificate (EPC)
Commonhold information (if appropriate)
A copy of the lease (if appropriate)
Optional documents include:
A Home Condition Report (HCR)
Additional leasehold information such as management enquiries etc
Guarantees and warranties
Other searches relevant to the particular area (environmental, mining etc)
3. Can we still market a property without a HIP?
Homes can be put on the market without a HIP, providing all the necessary documents have been requested and paid for, or a commitment to pay for them has been made.
4. When does the HIP have to be made available?
During the 'First Day Marketing Rule' temporary period ending on 1 June 2008
Provided that the pack has been requested in writing (and evidence is available of payment or an undertaking to make the payment) and it is expected to become available within 28 days – marketing can start without a Pack. The duty to provide a Pack does not then arise until the energy performance certificate (EPC) is obtained.
Once the EPC is obtained, the Pack should then be made available as soon as possible. At this point the pack must include at least the following documents:
Index
EPC
Evidence of title (if registered)
Sale statement.
The Pack might still exclude the following documents if these have not yet been obtained:
Evidence of title (if unregistered)
Searches
Leasehold/commonhold information
In such cases all reasonable efforts must be maintained to obtain the missing items and add them as soon as possible.
From 1 June 2008 onwards (after the temporary rule ends)
The temporary period ends on 31 May 2008. So from 1 June 2008, there must be a Pack available when marketing starts and certain documents must be in the Pack. Where documents are missing, this should be noted in the Pack Index and all reasonable efforts should be made to obtain them as soon as possible. This exemption only covers the following documents, nothing else can be missing from the Pack on the first day of marketing:
Searches
Leasehold and Commonhold information
Evidence of Title (for unregistered properties only)
5. What constitutes Marketing?
A property is put on the market when the fact that it is available for sale is made public. Communication of availability for sale by word of mouth is therefore caught, and counts as marketing.
The HIP duties will usually be triggered where an estate agent, as part of his business, arranges "informal viewings" of a property that is available for sale, or communicates this availability by any means to any one as part of an attempt to sell it.
One-to-one sales that don't involve any other person and do not involve marketing to a 'section of the public' are not caught by the legislation.
6. Who pays for the Pack?
The seller is responsible for the cost of a Home Information Pack
7. I'm selling my house privately - do I need a Home Information Pack?
If you are marketing your property, even if it's just by putting a 'for sale' sign in the window, you need a Pack. Sales where no marketing takes place (e.g. to a member of the family) won't need a Pack.

A contribution by C-HIPS (a trading style of Reflect Business Services, 16-20 South Street, Hythe, Southampton SO45 6EB. For further information: chips@myfirsthomeltd.com

 
 
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