HIPs news update: May 15th
Author: Gary Horsley · Posted: May 15, 2008
Since our last news update there have been a number of developments relating to HIPs in general and to Ownerpack as a HIP supplier. Here are the main points.
1. Developer information
From April 6th 2008 new homes are included fully in the Home Information Pack (HIP) scheme, removing an earlier exclusion for new homes built under the most recent (2006) building regulations. The specific characteristics of the new home market are catered for in variations from standard HIP requirements.
It is important that developers are aware of their duty to provide HIPs for those properties that they are responsible for marketing. A special section of the Ownerpack site has been created for developers, covering the rules for newbuild homes, the necessary contents of HIPs for different stages of build (homes sold ‘off-plan’ as opposed to completed homes) and specific requirements for sustainable homes. Ownerpack is happy to assist developers in meeting their needs: please use the contact form on the Ownerpack site to request assistance.
2. Extension to HIPs temporary provisions
Housing Minister Caroline Flint announced on May 8th an extension of the temporary provisions for first day marketing and leasehold requirements.
The temporary ‘first day marketing’ provision was introduced to help smooth the implementation of HIPs at the launch of the initiative. It allows a property to be marketed where the HIP has been commissioned and paid for, or arrangement for payment been made, and the documents are expected to arrive within 28 days.
The temporary provision requiring HIPs to include the lease only, and to ‘authorise’ other leasehold documents, was introduced in response to concerns about delays and additional costs in obtaining leasehold information. An assessment has been made of problems obtaining leasehold information, confirming a number of issues on provision and cost. It is accepted that the inclusion of all leasehold information before marketing would currently cause serious difficulties and that there is a need for further work to resolve these issues.
Both these temporary measures were scheduled to end on June 1st this year but are now extended to December 31st 2008. A number of other matters were included in the announcement, indicating that HIPs will be under scrutiny over the coming months, both in terms of their own performance and in connection with other aspects of buying and selling homes. Full details of the Minister’s statement can be found on the government website at http://www.communities.gov.uk/statements/corporate/hips.