HIP solutions tailored for you

Introduction to HIPs
The facts
The benefits of HIPs
The Ownership Solution
Knowledge and Expertise

Introduction to HIPs

Home Information Packs (HIPs) are a key part of the Government’s strategy to improve the house buying process.

In August 2007, the government implemetted its phased approach to HIPs, initially requiring homes with 4 or more bedrooms to have a HIP. This phased implementation was finalised in December 2007, and since then, the sale of any residential property has required a Home Information Pack (HIP) before it can be marketed.

If a HIP is not provided, an offence may have been committed.

A HIP will be required when residential property is to be put on the market. It is then regarded as remaining on the market until it is either taken off the market or sold.

The government introduced a transitional period (initially expiring on 1st June 2008, but extended to 31st December 2008), during which it is sufficient to have commissioned a HIP to enable marketing to commence, i.e. documents and information need not be available as long as they have been requested.

A HIP consists of three elements:

Legal

Containing copies of the title to the property.

Energy Performance Certificate

An energy rating of the property with recommendations for improvement. This will be prepared by a qualified Energy Assessor.

Searches

Includes a search of the local authority and a drainage and water search.

What effect will HIPs have on the conveyancing process?

HIPs will have a fundamental effect on the way conveyancing is handled in England and Wales. The current system is based on "caveat emptor", with the onus being on the buyer to make sure that they carry out their due diligence when purchasing a property. The only obligation on the seller is not to misrepresent any facts when asked any questions by the buyer.

HIPs will completely change this procedure; the seller will be under a duty to provide certain documents to the buyer at the outset, which the buyer will be entitled to rely upon. However, the fundamental principal of caveat emptor will remain, but the buyer’s conveyancer will be able to obtain much of the essential information from the documents contained in the HIP and will raise any other enquiries as appropriate.

The benefits of HIPs

As all of the information will be provided up front, transactions will complete quicker. As a result, gazumping should decrease. Buyers will have greater knowledge about a property before they place an offer. Sellers will have a greater appreciation and awareness of the energy efficiency of their property, leading to lower carbon emissions. Sellers will have a more secure sale once the offer is made and accepted.

A study carried out by one of the country's largest estate agency chains, revealed that in the first 9 months after HIPs were implemented, those properties marketed with a HIP progressed from offer to exchange an average 12 days quicker than those without a HIP.

The Ownership Solution

Ownership is a HIP solution which is tailored to your needs.

Ownership has been developed at d3 Legal by the expert in-house team, incorporating IT, Operations, Systems Development and Finance.

The team has vast experience in the residential property world and in delivering such flexible solutions.

We already have vast experience in the ordering and processing of all types of searches involved in a conveyancing transaction, which is replicated in our HIP platform.

We produce services of a very high quality and this in no different where HIPs are concerned.

Knowledge and Expertise

We have contracts with major lenders, local and national firms of estate agents, builders and developers, major residential landlords and several registered social landlords.

The team has vast experience in the Residential Conveyancing, and uses cutting edge IT with computerised case management systems, internet reporting and tracking and text messaging.