As of 14th December 2007 the way in which all residential properties are to be marketed has changed. New legislation, subject to very few exceptions, requires all homes to have a Home Information Pack (HIP) and as a result we as agents are required to take responsibility for ensuring the HIP is in place (failure to comply with the legislation carries repeated statutory fixed penalty fines).

The introduction of HIPs is part of a wider programme of reforms to home buying and selling including e-conveyancing and better redress, which aims to provide consumers with a clearer, more transparent and effective service, with better value for money, benefiting all potential homebuyers and helping in tackling climate change.

The following information tells you what is required.

Compulsory documents
The following are needed for every home that requires a Home Information Pack:

• An Index
• An Energy Performance Certificate (EPC) or predicted energy assessment
• A Sale statement
• Standard searches – e.g. local land charges register, local enquiries, drainage and water searches
• Evidence of title

(If there is any delay in getting the EPC, searches or evidence of title, you must prove that they have been ordered and where necessary paid for).

What is an Energy Performance Certificate?
One feature in the package is an Energy Performance Certificate, which the Government sees as especially important. This will give your home an efficiency rating from A to G, where A is the most energy efficient, similar to gradings you now find on new domestic equipment. It will also offer advice on how to save energy and reduce fuel bills and by law we must include this information in our sales particulars.

Optional documents
Presently sellers can choose to include the following:

• Home Condition Report
• Home use form
• Home Contents Form
• Legal Summary of a Pack, or a Pack document
• Other Searches
• Warranties and Guarantees

When will sellers NOT need a Pack?
Packs are presently not required for properties that are:

• Unsafe and not fit for human occupation
• Due to be demolished
• Sold without vacant possession
• Non-residential
• Used as holiday or seasonal accommodation
• Mixed use (e.g. a shop and flat above) and being sold as one lot
• Dual use (e.g. a property that can be used for residential and non-residential purposes at the same time, such as a guesthouse)
• Part of a private sale (where the property is not marketed)
• Part of the sale of a property portfolio.

How long will Packs be valid?
The Evidence of Title and searches cannot be over three months old when a property is first marketed. Energy Performance Certificates cannot be more than three years old.

How much will Packs cost sellers?
The cost of a Pack will vary although we expect the average cost to be around £300 to £400 including the Energy Performance Certificate. It will also depend on which optional documents are included.

The future
A recent Minister's announcement confirmed that:
First day marketing will be allowed until 31 December 2008 provided a HIP has been requested i.e. ordered and paid for, marketing can then begin ahead of HIP documents and searches being received. After this date it will be necessary to have the complete pack in place before marketing.

Until the 31 December 2008 where the property is leasehold, the HIP has to contain the lease only with the remaining information on rent, service charges, etc, which is currently 'required' or mandatory, left out.

Where can sellers go for more information?
Sellers should visit the relevant section of the Home Information Pack website at:
www.homeinformationpacks.gov.uk/consumer/44_For_sellers.html

Please ask for any further up to date information that may have changed since this page was created.