HIP Guide
Home Information Packs (HIP’s) were introduced in England and Wales in August 2007. Initially they were required for residential properties with four or more bedrooms but from December 2007 it became necessary for homeowners, solicitors or estate agents to assemble Home Information Packs for all properties being offered for sale.
What is in a Home Information Pack?
A HIP must contain the following compulsory documents:
- A HIP Index , which lists the documents contained in the Pack and provides a checklist for sellers, buyers, estate agents and enforcement authorities.
- An Energy Performance Certificate which gives the seller and prospective buyers a rating of the property’s energy efficiency and carbon emissions.
- A Sale Statement that provides some basic information about the property, including:
- The address of the property being sold
- Whether the property is freehold, leasehold or commonhold
- Whether the property is registered or unregistered
- Whether or not the property is being sold with vacant possession
- Standard Searches:
- The local land charges register relating to the property being sold.
- Other records held by the local authority on matters of interest to buyers, such as planning decisions and road building proposals.
- The provision of drainage and water services to the property.
- Evidence Of Title documents to prove that the seller owns the property and therefore has the right to sell it.
A HIP can contain the following optional documents:
- A Home Condition Report contains information about the physical condition of the property that sellers, buyers and lenders will be able to rely on legally as an accurate report.
- A legal summary is a summary of the legal content of the pack. Home Information Packs contain some complex documents that can be difficult to understand. The legal summary can therefore be very helpful although it will not remove the need for buyers to take their own legal advice as well.
- Home use/contents forms give buyers information on a range of matters relating to the property. These include information on boundaries, notices, services, sharing with neighbours, planning permissions and other matters. It is usual for sellers to declare which fixtures, fittings and other contents are included in the sale, are excluded from the sale, or are subject to negotiation.
- Non-standard searches could speed up the sale if they are included. For example, in areas where coal mining has taken place sellers could save time by including a mining search in the Pack. Other searches cover rights of way, ground stability and actual or potential environmental hazards such as flooding and contaminated land.
- Guarantees & warranties for work carried out to the property.