A Sellers guide to HIPs
A sellers guide to HIPs
HIPs: a sellers guide
The Home Information Pack (HIP) is compulsory for most homes on the market in England and Wales. Since April 2009, important changes have been made to HIPs. This means better information is available from the first day a property is put on the market.
Why you need a HIP
It is a legal requirement to have a HIP and you cant market a property without one. The HIP lets buyers see important information on the property at the start of the process, free of charge.
This means theres less chance of buyers becoming aware of any surprises at the end of the process. The HIP can help reduce delays and extra expense to the buyer and seller.
You dont need a HIP for:
- properties where there is no marketing, for example if you are selling to a member of your family
- non-residential properties
- properties limited by law to use as holiday accommodation or occupation for less than 11 months per year
- mixed sales, for example a shop with flat
- sales of portfolios of properties, for example selling two properties together
- properties not being sold with completely vacant possession, for example with a sitting tenant
- unsafe properties and properties due to be demolished
- properties sold through the 'Right to Buy', 'Right to Aquire' and 'Social HomeBuy' home ownership schemes
What is in a HIP?
The HIP is made up of required (compulsory) and authorised (optional) items.
There shouldnt be any marketing or advertising material in the pack, so make sure it contains official information only.
Since 6 April 2009, the HIP must be available and contain the following documents on the first day a property is put on the market:
- Home Information Pack Index
- the new Property Information Questionnaire (PIQ)
- Energy Performance Certificate (EPC) or Predicted Energy Assessment (PEA)
- sustainability information (required for newly built homes)
- sale statement
- evidence of title
If the following documents are unavailable when marketing begins, they should be added to the HIP as soon as they are available. These documents must be included within 28 days of the date the property was first placed on the market:
- standard searches (local authority and drainage and water)
- a copy of the lease for leasehold properties
- commonhold documents, where appropriate
For a complete guide to the compulsory and optional documents follow the links below.