HiP? - Delivering HIP Promptly

A key objective of HiPs is to provide information at an early stage in a transaction so that buyers can make informed choices. 

The ideal is that sellers can have packs prepared in 3-5 days and that they are available when marketing starts. However, the experience in the area trials is that packs can take between 4 days and 4 weeks to be produced. 

Delays have been caused by the time taken to obtain searches and difficulties in obtaining leasehold documents where the seller has not retained these and they need to be obtained from the landlord or the managing agent. 

Data from search providers suggests that 30-40 local authorities can take more than 10 days to return searches and that 7 of these take over 30 days.

We expect to see improvements made rapidly but it is not realistic to expect these to be put in place by June. We need to put in place transitional arrangements to avoid large numbers of sales being delayed whilst packs are produced.

Enabling homes to be marketed quickly

To avoid significant delays until the current difficulties with obtaining searches in certain areas are resolved, we propose that, for a transitional period, sellers should be allowed to market their homes if a pack is produced containing:

• the Energy Performance Certificate, sale statement, evidence of title and index.

• evidence that the other documents have been commissioned – for example a letter from a HIP provider or other providers confirming that an agreement has been entered into to provide the missing documents as soon as practicable and within 28 days except in exceptional circumstances. If this takes longer than 28 days providers will be expected to demonstrate that they have made all reasonable efforts and enquiries to obtain them.

We expect all concerned to do all that they can to ensure that packs are complete as soon as possible. Whilst we are sure that reputable estate agents and pack providers will comply fully with the letter and the spirit of the legislation we will be consulting with LACORs (the Local Authorities Coordinators of Regulatory Services) in drafting the regulations to ensure that the provisions are as easy to enforce as possible.