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Who needs a Home Information Pack?
HIPs are now required for most residential sales in England
and Wales. There are some exceptions, including sales of mixed use
properties and portfolios of properties. Homes that were put on
the market before the date on which the requirement to have a HIP
applied to them will not need one either: These dates are as follows:
1 August 2007 for sales of homes with four bedrooms or more
10 September 2007 for sales of homes with three bedrooms or more
14 December 2007 for all other properties.
Residential properties not available for sale with vacant possession:
Where a residential property is not available for sale with vacant
possession HIP regulations will not apply. However, this exception
will not apply where two or more dwellings in a sub-divided building
that was originally built as a single dwelling are being marketed
as a single property and one or more is not available with vacant
possession.
Seasonal and holiday accommodation:
There is no requirement to provide a HIP where there is a planning
restriction which either limits the occupancy of the property to
11 months or less in a 12 month period, or limits the use of the
property to holiday accommodation.
Mixed sales:
The duty to have a HIP does not apply to a ‘mixed sale’.
This applies where a residential property is marketed for sale as
‘ancillary’ to (i.e. is intended to be occupied and enjoyed
with) one or more other buildings or areas of land used for non-residential
purposes. Examples of mixed sales include a farm house sold with
agricultural land and buildings, or a property consisting of a shop
on one floor and a flat above it. The exception for a mixed sale
only applies if at the time of first marketing, the marketing material
makes it clear to potential buyers that the seller only intends
to accept an offer for the property as one lot.
Dual use of a dwelling/house:
The HIP duties do not apply to properties that have a ‘dual
use’ and can be used for both residential and non-residential
purposes simultaneously. An example of dual use would be a house
that has been divided and where one part is used as a dentist’s
surgery and the other part serves as the dentist’s home.
Portfolios of properties:
Duties do not apply where one or more residential properties are
marketed for sale together if the seller does not intend to accept
a sale in isolation from the others, and it is clear from marketing
materials that offers will only be accepted for the complete portfolio.
Unsafe properties:
A HIP is not required when marketing an unoccupied property that
is unsafe, posing a serious risk to the health and safety of potential
occupants and visitors, and this is made clear in the marketing
material.
Properties due to be demolished:
A Home Information Pack is not required when marketing a property
intended for demolition and redevelopment. This applies where the
relevant planning permission has been obtained.
Park homes:
Park homes are not treated as ‘dwelling houses’ under
the terms of housing legislation and therefore fall outside the
scope of the HIP regulations.
New Builds:
Although sales of homes built to the most recent Building Regulations
(Regulation 17C, Part L, 2006) are currently exempt from the need
to have a HIP, this is set to change later in 2008. For more detailed
information on new builds, click here.
NOTE: The above is only intended to be an indicative list
of the circumstances under which HIP regulations do not apply. For
detailed information on exceptions the above should be read in conjunction
with:
Home
Information Pack Regulations 2007 Procedural Guidance
Home
Information Pack Guidance for Enforcement Officers
The Home Information Pack
The Home Information Pack is a set of documents providing
important information about a property such as searches, copies
of the deeds and information regarding its energy efficiency.
Currently, much of this essential information only comes to light
when an offer has been made and accepted. In the meantime, buyers
are negotiating in the dark and are often wasting money on legal
fees and searches. Providing this information up front, at the time
of marketing a property, will make the home buying and selling process
more efficient and transparent.
The benefits Home Information Packs bring to Industry
•Improving the process of buying and selling by reducing the
number of transaction failures and reducing the time taken between
offer and acceptance;
•Improving the condition and sustainability of housing stock
- Making a positive contribution to the condition and sustainability
of the housing stock - by ensuring home buyers and sellers are aware
of the true condition of the property;
•A step on the ladder for new generations of home owners -
through more affordable entry costs and simpler process for first
time buyers;
•Training for the qualification in Home Inspection, for those
wishing to add the qualification to their existing portfolio and
for those looking to train in a completely new career;
•Joined up processes through industry forging links to provide
a seamless service to consumers.[1]
Click here to view frequently
asked questions
UK
Home Inspectors
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