Home information packs
UK HIP's (Home Information Packs) have been required for every property which is advertised for sale from the 14/12/2007 and they are basically a collection of documents which should give the buyer more knowledge about the house they are looking to purchase. The idea is to hopefully give them a little more peace of mind as purchasing a property is a big step.
What Should Be Included in a HIP Report?
* HIP Index
* EPC (Energy Performance Certificate) this is also needed for rental properties
* Sale Statement
* Standard Searches (such as local authority searches and drainage)
* Title Information
Every Home Information Pack has to include this compulsory information, however some sellers may choose to include more information.
Additional HIP Information
* HCR (Home Condition Report)
* Legal Summary
* Home Use
* Content Forms
* Guarantees and Additional Searches
All the documents mentioned above are the maximum you would expect to see in a HIP. This limit has been set to stop HIP providers charging extra for reports which are not required and also to stop them adding sales literature into the HIP.
How Much is a HIP?
HIP reports can start from around the £150 mark but when you instruct a company to produce your HIP report it is always wise to know exactly what should be included. Check what actually is included in the pack when they give it to you. This may seem a little over the top but many sellers have been stung with inadequate HIP's. Often this is when they have gone for a Cheap HIP, meaning that when they have a buyer and the solicitors are dealing with the contract exchange they are advised that not only will someone have to come round to do another report but that they will also have to pay the costs, even though they have actually paid out once already!