1. What is a Home Information
Pack?
The Home Information Pack (known as a ‘HIP’) is
a set of documents providing important information about a
property, such as its energy efficiency, boundary ownership
and planning permissions. They
became compulsory on 1st August 2007 for properties with
4 or more bedrooms in England and Wales and will be rolled
out to include 2 and 3 bedroom homes on the 14th December
2007. The aim of the Government is to cut carbon emissions
from homes. This means every person selling their home after
this date must provide potential buyers with a Pack. Failure
to do so will lead to a fine.
The Pack includes an Energy Performance Certificate (EPC)
plus searches and other legal documents.
2. How will Home Information Packs help the current
buying and selling process?
HIPs aim to reduce the stress of buying and selling
a home by providing key documents at the time a property
is put onto market. Currently this information is not normally
made available until after an offer has been negotiated.
The Packs aim to increase confidence in the sale process
from the start. Estate agents marketing homes with Packs
will be required for the first time, to belong to an approve
consumer redress scheme. This means more peace of mind and
a better standard of service for consumers.
3. What is in a Home Information Pack?
The Pack will include the key documents that are normally
required when homes are bought and sold. Some documents
will be compulsory and others optional.
The compulsory documents include:
• An Index (a list of the contents of the Pack)
• An Energy Performance Certificate
• A sale statement (summarising the terms of sale)
• Evidence of title
• Standard searches (e.g. local authority enquiries
and a drainage and water search)
• Where appropriate, leasehold information
Optional documents include:
• A Home Condition Report
• A legal summary
• Guarantees and warranties
• Other searches relevant to the particular area
• A Home Use Form
• A Home Contents Form and additional relevant information
Sellers are allowed to market their homes with an EPC, sale
statement, evidence of title and index, so long as the other
mandatory documents have been commissioned.
4. What is an Energy Performance Certificate?
An Energy Performance Certificates (‘EPC’) will
tell home buyers and sellers about a home's energy efficiency
- using A to G ratings, like those used to rate fridges
and washing machines. A home's energy rating will be attached
to the particulars, which estate agents give to potential
buyers.
The Certificates will also make
recommendations for cost-effective improvements that can
be made to help cut fuel bills and carbon emissions. According
to Government figures, homes currently account for 27% of
the UK's carbon emissions, contributing to global climate
change.
The EPC is prepared by Domestic Energy Assessors or Home
Inspectors who are members of a Government approved Certification
Scheme. The Government estimates that by following the recommendations
in an EPC, an average of £300 a year can be saved
in fuel bills.
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