HIPS and definition of 'SOLD'

courtjester

dnwilliams wrote: »

My understanding, is that 'exchange of contracts' is the point where a hip is no longer required for pending sales from 1st Jan 2008.

DN - why is that your understanding, ... from what source?

From reviewing the regulations, I can find no reference to exchange of contracts as being relevant, only 'marketing', which suggests that if the property is taken 'off the market' whilst negotiations are progressed, there is no longer a requirement for a HIP providing the sale goes through and the property doesn't come back on to the market after Jan 2008.

King_Of_Fools

courtjester wrote: »

From reviewing the regulations, I can find no reference to exchange of contracts as being relevant, only 'marketing', which suggests that if the property is taken 'off the market' whilst negotiations are progressed, there is no longer a requirement for a HIP providing the sale goes through and the property doesn't come back on to the market after Jan 2008.

However, if you take your house off the market and want to put it back on after 1st June 2007 you will need a HIP even if it was originally marketed before the end of May.

dnwilliams

courtjester wrote: »

DN - why is that your understanding, ... from what source?

From reviewing the regulations, I can find no reference to exchange of contracts as being relevant, only 'marketing', which suggests that if the property is taken 'off the market' whilst negotiations are progressed, there is no longer a requirement for a HIP providing the sale goes through and the property doesn't come back on to the market after Jan 2008.

I was told this by 'Simply Conveyancing' one of the Hip suppliers.

mags24

There some relevent information at
http://www.sell-your-home.org.uk/hips.php

From reading the regulations, my understanding is that every property will require a HIP if it is being 'marketed' after 31st December 2007. One way to stop marketing is to exchange contracts. Another is to withdraw the property from being marketed. If you have a buyer interested by the 31st and it proceeds to exchange, then great. If not, then you will have to put it back on the market and pay for a HIP.

Generali

CFC wrote: »

There are none for the buyer.
There are none for the seller.
All of the professionals associated with house sales and purchases are broadly against it, stating that there are no advantages, also quoting that it will slow down housing availability, and tend to push prices up even further. This in turn may lead to a hike in interest rates over the course of a period.

It creates a nice gravy train of jobs for Nu-labour with it's 'statist' tendencies...

It is Statist but it will stop people marketing houses that they have no intention of selling, something that cost me £1k odd when I was buying a flat in the late 90s (happened to me twice). That's an advantage to the buyer.

courtjester

dnwilliams wrote: »

I was told this by 'Simply Conveyancing' one of the Hip suppliers.

I suspect this was in the course of a 'generalisation'. It would be interesting to ask Simply Conveyancing the specific question:

If you cease marketing following an offer in December 2006, but exchange of contracts does not occur until the end of January 2008, do you require a HIP whilst the property is off the market pending exchange, providing that no further advertising takes place to other buyers?

I think the answer is no, because the regulations about HIPS refer to marketing not sale of the property, so does not hinge on exchange of contracts.

matto

I was reading this thread and it got me thinking.

We might want to sell our house in the next six months, subject mostly to finding somewhere we want to buy, but until that eventuality arises I don't particularly want to have to deal with estate agents, viewings, etc, yet I'm still keen to avoid HIPs if possible.

And I was thinking maybe I can use one of those cheap online DIY estate agencies to begin the marketing before 1 June.

A quick Google search and I actually found this (for £89)

http://www.thelittlehousecompany.co.uk/sellers.htm

Beat the June HIPS deadline !
Advertise your property with us BEFORE the 1 June 2007 and you won't have to pay for a Home Information Pack (providing you sell before January 2008) !

Generali

matto wrote: »

I was reading this thread and it got me thinking.

We might want to sell our house in the next six months, subject mostly to finding somewhere we want to buy, but until that eventuality arises I don't particularly want to have to deal with estate agents, viewings, etc, yet I'm still keen to avoid HIPs if possible.

And I was thinking maybe I can use one of those cheap online DIY estate agencies to begin the marketing before 1 June.

A quick Google search and I actually found this (for £89)

http://www.thelittlehousecompany.co.uk/sellers.htm

Personally, I'd put it on Gumtree - it's free.

Imelda

Ok, I am going to be putting my flat on the market in one week. So if I accept an offer and take it off the market, and then this buyer later pulls out I will have to get a HIP to be able to remarket it? So, would you recommend not taking it off the market until contracts have been exchanged (and would a buyer go for that? even if i made it clear to any prospective viewers that an offer had been accepted and was proceeding?) Just seems to me that it is likely in the early stages of HIPs that buyers will be gazumped?
Or have I got the wrong end of the stick?

matto

Generali wrote: »

Personally, I'd put it on Gumtree - it's free.

It does make you wonder where the line is regarding what you have to do to market a property.