Home Information Pack legislation is now firmly embedded within the estate agency industry and has fast become common place amongst buyers & sellers alike. The purpose of the HIP is to provide more of the essential information about the property upfront, thereby putting the buyer in a position of informed choice before an offer to purchase is made.

This, in turn, has proved effective in speeding up the conveyancing process and ensuring transactions proceed more quickly. Above all, HIPs have helped to reduce the potential for deals to fall through; a costly, time-consuming & immensely frustrating event which has dogged the industry for many years.

Most properties that have been put on the market for sale since 14th December 2007 have required a pack to be ordered before marketing can commence however, one of the fundamental changes to the legislation from 6th April now means that the HIP needs to be compiled before marketing can actually begin.

In practice, this means that all of the required information (with the exception of the standard searches which are required within 28 days) needs to have been fully compiled & available before the estate agent can erect a ‘for-sale' sign, send details to prospective purchasers, arrange viewings or even place adverts in the local newspaper or on the internet.

In addition to this new "First Day Marketing" rule, there have been two other changes which will have a significant impact on the provision & effectiveness of HIPS.

A change to the content required in the Local Authority Search means that all relevant information must be included. Previously, where certain information wasn't readily available, the HIP legislation allowed for the use of Professional Indemnity Insurance to cover any ‘gaps' or missing information.

This has led to increased costs as Local Authorities levy additional charges to produce information that they previously may not have been required to do. For the same reasons, this may also create additional delays in retrieving & producing information however, the content of these searches should now provide more certainty up front to any purchaser and their conveyancer.

The final change implemented to the legislation from April 6th is the inclusion in the HIP of an additional document known as the "Property Information Questionnaire" or PIQ for short.

In the true spirit of HIPs, the PIQ provides additional vital information about the property upfront such as council tax banding, utility services, planning permissions, neighbour disputes, guarantees for any work that has been carried out, Leasehold details etc - all essential information that was previously compiled by the solicitor once a sale was agreed.

This information will now be made available to any prospective buyer before they make an offer to buy and this, along with all the other information in the HIP, will put the buyer in a position to make an informed decision, safe in the knowledge that their solicitor will not be presenting them with any nasty surprises further down the line when they may have spent thousands of pounds unnecessarily.

There are stringent penalties in place which can be imposed on both the Vendor and the Estate Agent alike to deter individuals or agents from flaunting the rules. As well as a daily fine of up to £250 for both parties, the agent could find themselves barred from trading so it is vital for clients to ensure they are only dealing with reputable companies that will follow the rules diligently.

Burchell Edwards ensures that only the highest possible quality at the best possible price is delivered. It is of paramount importance when selecting the right provider to ensure that we obtain from them confirmation that they will meet the high standards laid out by the appropriate regulating bodies.

We always demand that they have full accreditation to bodies such as the Association of Home Information Pack Providers (AHIPP) and statements of intent to embrace the strict guidelines laid out in the Search Code & HIP code. Burchell Edwards will only commission HIPs for clients from companies that share & demonstrate the same single-minded dedication & commitment to excellent customer service.