HIPSearch Solutions News Update

All the latest HIPs, property and search related news

Birmingham agents to face Home Information Pack crackdown

EA Today - 2nd September 2009

Birmingham agents have been put on warning that the city council is to have a second go at cracking down on Home Information Packs.  

It follows a headline-grabbing probe by the same authority a year ago, which found five out of six HIPs riddled with mistakes. However, despite threats, no prosecutions or further action followed as the council appeared to climb down. It later said it had found no evidence that personal search firms were at fault.

Birmingham is still the only authority to have carried out systematic policing of HIPs. The council has now announced that it is to carry out a compliance check on the content and accuracy of HIPs, whether they are being supplied at the right time, and whether they contain all the documents that they should, including EPCs. Particular attention will be paid to the accuracy of local search information, says the council.

If you are an estate agent, solicitor or a HIP provider worried about the quality of your reports, YourHIPSearch provides Home Information Pack Training and Personal Search Training to property professionals and new entrants to the Home Information Pack industry.

More 'Sold' signs are reason for good cheer for HIPs Industry

EA Today - 3rd July 2009

Sold signs have been sprouting across the country, increasing to their highest number since April 2008.
According to estate agency sign supplier Agency Express, the number of Sold signs instructed by agents in June rose to the highest level for 14 months, and showed a 19.2% increase on May.

Year-on-year, there were 36.3% more Sold signs in June than June 2008. The region showing the greatest monthly increase in the number of boards moving from For Sale to Sold was the West Midlands, with a 58.7% rise, followed by the East Midlands (35.1%) and Yorkshire (28.8%).

Signs of a potential property market recovery are great news for everybody involved in the property industry, including Home Information Pack providers. However, unlike most other property related professions, people who have undergone their Home Information Pack training to become HIP providers have not been as severely affected by the dip in property sales because a HIP is required by law before the property goes onto the market (and hence is not dependent on the house selling).

Searches for Home Information Packs taking longer

EA Today - 20th April 2009

Searches are now taking longer than ever as local authorities struggle with the new April 6 HIP regime, which requires them to give full access to personal search firms who are completing searches for Home Information Packs.

It is unclear whether delays will be such that some searches will not be available, as the law now requires, 28 days from the start of marketing. Personal search firms are no longer allowed to supply insurance-backed searches with missing information for HIPs, but must produce the actual information as supplied by the local authority. It is hoped that this is just an initial "teething problem" which will resolve itself once the new systems have had chance to bed-in.

YourHIPSearch provides Home Information Pack Training and Personal Search Training to property professionals and new entrants to the Home Information Pack industry.

Problems with the new PIQ for Home Information Packs?

EA Today - 27th Feb 2009

A number of potential problems have been highlighted with the proposed Property Information Questionnaire (PIQ), which is due to become a mandatory part of Home Information Packs from April 6th 2009.

Issues highlighted by estate agents include:

- No identity check or signature required by the home seller (who is required to complete the form)

- Unsuitability of the form for repossessed properties

- Unsuitability of the form for leasehold properties where the seller also owns part of the freehold

YourHIPSearch Home Information Pack training courses cover all the latest changes to the HIP and we'll be monitoring Government feedback and guidance relating to the potential issues raised above. Watch this space for more information!

Interest rates fall again

BBC - 5th Feb 2009

The Bank of England has reduced interest rates to a record low of 1% from 1.5% in an attempt to boost the shrinking economy.

This marks the fifth interest rate cut since October, as the Bank seeks to encourage more lending.

However, there are concerns that savers will be hurt by lower interest rates.

And business groups argue that this rate reduction will not be enough to ease the economic crisis, and will not encourage banks to lend.

The decision comes after official data showed the UK had entered a recession in December, after two successive quarters of economic contraction.

The Bank Rate has now been reduced from 5% in October last year.

In a statement, the Bank of England said that the rate cuts, along with government measures to boost the economy, "would provide a considerable stimulus to activity as the year progressed."

Leading HIPs training providers look forward to 6th April 2009 changes

YourHIPSearch - 5th Feb 2009

The forthcoming changes to Home Information Packs has been greeted with approval from many leading HIP training providers.

Andrew Orgill, YourHIPSearch Sales & Home Information Pack training manager, commented: 'The improvements to personal searches and the introduction of the PIQs will certainly help improve the quality of HIPs.'

'Home Information Packs are becoming more important in the home buying and selling process as they provide a lot of very useful information to a prospective purchaser; most of which would not have previously have come to light until they had made an offer and instructed a solicitor.' continued Andrew.

YourHIPSearch Home Information Pack & Personal Search training courses incorporate these latest changes so that delegates are equipped with up to date knowledge.

Rules on HIPs to change to include PIQs

EA Today - 17th Dec 2008

A change of regulation is likely in order to make Property Information Questionnaires a compulsory part of Home Information Packs from day one of marketing.

PIQs are to be a mandatory part of HIPs from day one, meaning that a property cannot be marketed without one, but the regulations will have to be changed.

Denis Purshouse, policy adviser at Communities and Local Government, has today confirmed the situation as follows:

“The policy intention is clear ¬– the PIQ should form part of the ‘basic’ HIP for homes marketed on or after 6 April, 2009. However, it seems that the regulations as currently drafted do not achieve that objective and we will need  to make a further small amendment to the principal regulations (I think we need to add the new regulations 8(m) and 8(n) to the list in regulation 14(1)). This is currently under consideration.”

YourHIPSearch HIPs training courses cover the PIQs to ensure that all delegates know what to do, if and when they do actually come into force!

HIPs get positive feedback from solicitors!

SearchFlow - 27th Nov 2008

For the first time, a survey about Home Information Packs has shown that a majority of solicitors and conveyancers believe that getting rid of HIPs would be more detrimental than keeping them.

The research from SearchFlow was the result of consulting among nearly 2,000 legal professionals. Nearly six in ten (58%) thought it would be better to keep HIPs than get rid of them.

YourHIPSearch offers a range of Home Information Pack training (HIP training) to property professionals and new entrants to the market.

A shortage of Non Domestic Energy Assessors?

There is still confusion over the numbers of Non-Domestic Energy Assessors available to carry out commercial EPCs, which which will be required for commercial properties from October.

It is believed that there are fewer than 300 commercial EPC assessors available to issue certificates on many thousands of offices, shops, warehouses and other commercial premises requiring EPCs from October 1 onwards.

The scale of the problem is not known because a request under the Freedom of Information Act to know exact numbers of inspectors, including trainees, has been refused.

The October 1 requirement affects all commercial buildings of all sizes being sold or rented. Until now, only a minority of larger business and commercial premises have been affected by the EPC requirement.

It is not known how many business premises in total are likely to be affected but it is likely to run into hundreds of thousands.

YourHIPSearch can arrange Commercial Energy Assessor training for people interested in entering this market.

EPCs needed for homes marketed before HIPs

NAEA - 8th Sept 2008

Despite numerous rumours from the National Association of Estate Agents (NAEA) that the CLG (Communities & Local Government) were about to make a u-turn on the decision that EPCs will be required for all properties for sale from October 1st, it is becoming increasingly clear that this will not be the case and that EPCs will be required for all properties from this date.

The latest advice from the NAEA is:

DOMESTIC EPCs – The 1st October date stands and all property being marketed after this date will require an EPC even if they do not require a HIP because of the initial marketing date. I asked when the EPC had to be available and was told as soon as possible. E.g. you need to get on and get one and cannot wait until just before exchange of properties. However you can continue to market.

The regulation from the CLG is:

The effect of Regulation 5 of, and Schedule 1 to, the Energy Performance of Buildings (Certificates and Inspections) (England and Wales) Regulations 2007 (SI 2007 No 991), and Regulation 51(7) of those regulations as added by the Energy Performance of Buildings (Certificates and Inspections) (England and Wales) (Amendment) Regulations 2008 (SI 2008 No 647) is that from 1 October, regardless of when they were first marketed or whether they are subject to the HIP requirements, all homes being sold for occupation need an EPC and that EPC must be provided to the prospective buyer before entering into a contract to sell.

  Followed by detail from CLG

‘A property marketed without the requirement of a Home Information Pack (HIP) will require an Energy Performance Certificate (EPC) from 1st October 2008. This also includes homes sold without marketing for sale e.g. by private treaty between family members or Local Authority housing will require an EPC on sale from 1 October 2008.’

Home Information Packs help to speed up sales

AHIPP - 27th Aug 2008

The Association of Home Information Pack Providers has responded to research published today by MyHomeMove, parent company of HIP provider MyHomeInformationPack.

The research shows that the time taken from instruction to exchange of contracts has fallen from 52 days a year ago to just 39 days in July of this year. The market average a year ago was 81 days.

MyHomeMove states that this is down to search and other information being available earlier in the process meaning that they can start work on a transaction as soon as they are instructed.

Mike Ockenden, Director General, AHIPP said ‘This is yet another example that HIPs, even in their incomplete state, are making a real difference to the time taken to exchange contracts. This means that consumers experience less stress and get certainty sooner than ever before’

Mr Ockenden added ‘If industry could get over the politicking and protectionism around HIPs and put the consumer at the centre of their thinking HIPs could deliver even more’

YourHIPSearch offers Home Information Pack training to property professionals and new entrants to the market.

HIPs help save consumers money

AHIPP - 26th Aug 2008

Following suggestions that the government's Home Information Packs (Hips) scheme needs a rethink, the Association of Home Information Pack Providers (AHIPP) has hit back at critics by highlighting how consumers have benefited.

According to AHIPP, HIPs have reduced the cost of property searches carried out by local authorities by an average of £30, and they also denied claims that people regularly need to re-order searches if a property remains on the market longer than expected.

Mike Ockenden, Director General of AHIPP said "It is not necessary for purchase conveyancers to re-order searches, but even if they do, the cost savings from the inclusion of searches in HIPs far outweigh any additional cost."

He added the inclusion of property searches in the scheme saves consumers money directly.

Banks cut mortgage rates further

BBC - 7th Aug 2008

Abbey, one of the biggest mortgage lenders in UK, has announced another round of cuts in mortgage interest rates for new borrowers.

The cost of two- and three-year fixed and tracker rates is coming down by up to 0.1% after similar cuts last Friday.

The past month has seen a series of rate reductions from major lenders as well as some smaller ones.

This week the Halifax cut the cost of many of its deals again, by up to 0.38% in the case of a two-year fixed rate.

The bank reduced the rates on 30 different mortgages deals, with one two-year fixed rate deal coming down to 6.19%.

The Bank of Scotland, which is part of the HBOS group that also owns the Halifax, also cut rates on 36 deals by up to 0.7%.

Estate Agents breaking the law

BBC - 2nd Aug 2008

Some estate agents in England and Wales are breaking the law by marketing properties without ordering a Home Information Pack, the BBC has learned.

The Law Society says in some cases, Hips are not available until weeks after the property goes on the market.

"The evidence we're receiving from right across the country, be it Cornwall, London or the North East of England, is that solicitors are not receiving a Hip when the deal is struck. This can in some cases slow down the sale of the property."

If you are an estate agent, YourHIPSearch's HIPs Training will provide you with a solution so that you can produce HIPs for all your properties (so that your agency is not breaking the law!)

High demand for HIPs despite slow market sales

Prontohips – 17th July 2008

Despite the slowdown in the housing market, many Estate Agents are still reporting high levels of new properties coming onto the market.

“House sellers are still coming onto the market in large volumes. Whether this is because they are simply unperturbed by the recent fall in prices or they just want to ‘cash-in’ before prices fall any further, I’m not too sure, but we are struggling to fit in appointments for new market appraisals” commented one agent based in the Northwest.

This is good news for Home Information Pack (HIP) providers, because since December 2007 all houses that are put up for sale now require a HIP.

Many Estate Agents and Solicitors are offering special incentives for HIPs to entice would-be home sellers to help secure future business.

EPCs required for tenanted and commercial properties

Directgov website

By October 2008 all buildings, whenever they are built, sold or rented out, will require an Energy Performance Certificate. The EPC provides 'A' to 'G' ratings for the building, with 'A' being the most energy efficient and 'G' being the least, with the average to date being 'D'.

Importantly, this will include all tenanted properties and most commercial buildings. Display Energy Certificates (DECs) will also be required for public buildings

Accredited energy assessors produce EPCs alongside an associated report which suggests improvements to make a building more energy efficient. See Directgov for more information.

YourHIPSearch provides DEA training and Commercial Energy Assessor training (Non Domestic) for people wishing to service these new markets. Contact us today for more details.

Slow housing market possibly showing signs of recovery

BBC News – 15th July 2008

Despite the low level of people moving house, the number of surveyors reporting house price falls was not quite as high in June as it had been in May. Rics spokesman Jeremy Leaf said that there were opportunities for some would-be buyers when the market was weak.

"With demand so low, would-be buyers are negotiating from a position of strength," said Mr Leaf.

"Even in a weak market there are always opportunities for investors and buyers to profit and some are starting to circle for bargains."

Although it’s a long way from a full market recovery, these early signs are welcome news for many home sellers across the country.

Some surveyors reported that some buy-to-let investors were entering the market to take advantage of rising rent levels. So-called "predatory buyers" were also stalking the market for big reductions during the depressed market conditions.
The report also suggested there was little sign of repossessed homes being sold in large numbers because employment levels remained strong.

HIPs benefiting consumers. Plus delay of first day marketing

Communities and Local Government news release – 8th May 2008

The Government today announced a package of measures to help ensure consumers are seeing the vital information in Home Information Packs and are receiving a higher standard of service in the home buying and selling process.

The new measures include: developing a new set of standards with industry on what consumers should expect from property professionals in the home buying and selling process; further building on the quality of information in the packs; working with industry to ensure that consumers are fully seeing and benefiting from the HIP, including the EPC, early in the process; extending until the end of the year the provisions enabling consumers to market their home as long as they have ordered and committed to pay for a HIP, and the provision requiring the lease to be included in the HIP for leasehold properties.

The latest figures on HIPs show that consumers are already benefiting from the introduction of Home Information Packs. More than 700,000 homes now have energy ratings as a result of HIPs, helping home owners to save money on their fuel bills and cut carbon emissions. Greater competition in the property searches market is also leading to reductions in costs with some local authorities reducing their search fees by up to £120.

This announcement also meant that there is a delay of first day marketing; this was originally scheduled for the 1st June 2008 and has now been delayed until 31st December 2008.

The provision for first day marketing allows a property to be marketed without a HIP as long as the required documents have been commissioned and paid for (or arrangements for payment made) and there is an expectation they will arrive within 28 days.

YourHIPSearch provides Home Information Pack training to property professionals and new entrants to the market.

Full roll out of HIPs announced

Ministerial Statement by Yvette Cooper – 22nd November 2007

The Government set out their approach and criteria for phasing the implementation of Home Information Packs (HIPs) including Energy Performance Certificates on 11 June. Sixty per cent of the market is now covered by HIPs. And the criteria for roll out to the rest of the market have now been met. We will therefore complete the phased roll out by extending coverage to the rest of the market from 14 December.

First time buyers of one and two bedroom homes will be the main beneficiaries as they will now get important information about their new home for free. Information such as searches for which they would previously have had to pay will now be included in the HIP paid for by the seller, reducing the costs of the first step onto the property ladder.

But all householders will benefit from having detailed information about the energy efficiency of their home, and measures to save on their fuel bills and cut carbon emissions.

HIPs required for properties with 3 or more bedrooms

Communities and Local Government news release – 10th September 2007

The Government is today extending EPCs and HIPs to three bedroom homes so more buyers will get the same information to cut carbon emissions and reduce fuel bills.

The early findings come from a snapshot survey of energy assessors and EPCs provided since the launch of HIPs, which show average 4 bedroom homes are being rated 'E' and could typically save £180 on heating, £60 on lighting and £30 on hot water bills, a year.

The top 5 recommendations given by assessors for improving energy efficiency have been: cavity wall insulation, changing to low energy lighting, putting thermostatic valves on radiators, loft insulation, and double glazing.

The introduction HIPs is already starting to reduce costs and improve transparency in the housing market. More than 85 local authorities have reduced their search costs, in some cases by more than £100

HIPs to be introduced on a phased basis

Ministerial Statement by Yvette Cooper – 22nd May 2007

The Government is today announcing that we will be implementing Energy Performance Certificates (EPCs) and Home Information Packs (HIPs) from 1 August instead of 1 June. The Government has also reached an agreement with the Royal Institution of Chartered Surveyors (RICS) on their judicial review of Energy Performance Certificates.

The Judge, considering the application for Judicial Review by RICS, had issued an Order preventing EPC's from being included in HIPs from 1 June until a court had fully considered the RICs application.
We did not consider it to be acceptable or practical to delay the introduction of EPCs in this way.

We have always made clear greater transparency in the housing market and tackling climate change goes hand in hand. In addition, we have created a new energy assessor workforce - the majority of whom expect to start work in June.

Therefore HIPs and EPCs will be introduced on August 1, implemented on a phased basis. From August 1 packs - including energy performance certificates - will be required for the sale of four bedroom properties and larger. These are the properties which are the most energy inefficient. We will phase in packs for smaller properties as sufficient energy assessors become ready to start work.

YourHIPSearch offers a range of Home Information Pack training to property professionals and new entrants to the market.

Useful External Links

The Energy Saving Trust - access information about housing and building energy efficiency.

Loft Lagger Loft Insulation Specialists - access information about loft insulation grants and general loft insulation and cavity wall insulation advice.