Auction HIPs

Wig

As I understand it a property needs to have a HIP applied for to go on the market....


EDIT: I thought a HIP had a valuation included. A property at auction has most of the documents of a HIP in the "legal pack", the only thing I was interested in seeing was the valuation that would be included in a HIP. But it seems that a valuation is no longer required by a HIP.

How long does a HIP take to complete?
If one exists does a buyer have the right to a copy?
Are they allowed to charge for copies of the HIPs?

If a 5 bedroom property has been on auction in in September - so logically the HIP was ordered before that auction. The house did not sell, and is now on auction again in December. The HIP must be ready by now.

Does anyone know the rules about HIPs in these circumstances?

Countrywide has this info, why does it not mention a valuation?

From 1 August 2007, the law requires selected homes in England and Wales to commission a Home Information Pack (HIP) before the property can be marketed.
The HIP will comprise some of the key documents required at the very start of the home-buying and selling process. These are as follows:

1. An index of contents
2. An Energy Performance Certificate
3. A sale statement (basic information about the sale such as name of seller and property address, whether the home is freehold or leasehold etc)
4. Evidence of title
5. Leasehold documents

Curv

I stand corrected...

Are HIPs needed at auctions?
Yes. People buying at auction need the same information as everyone else.

Valuations were dropped from HIPS before they were launched. Lenders decided they wouldn't rely on valuations in HIPS and so they are not included.


If I commission the HIP to sell my house, I have a vested interest in ensuring the valuation is as high as possible. You, as a buyer, need to commission your own valuation that YOU can rely on.

GMAC-UK

The HIP should not take longer than 5 days, but may not have all the documents completed by then. The search documents may take longer, my experience was more like two weeks. If it is a leasehold it may take longer (don't know!). Must have the EPC though, but thats quick.

The buyer has an absolute rght to view it, thats the law, and can request a copy (as long as the owner believes you to be a valid prospective buyer)
The cost should only be what is considered as reasonable to print off / post or none i think if you bring a USB stick and they have it as pdf on a computer. (again it states that in the blurb i read).

Useful site for DIY HIPs and info is www.cntv.co.uk

Debt_Free_Chick

Auctioned properties have, in general, always included a legal pack and they are usually far more comprehensive than a simple HIP.

The main reason being that you have effectively "exchanged" when the hammer goes down so the legal pack is meant to replace all the pre-exchange work your solicitor would have done, if you were buying in the normal way.

In a way, a HIP is the equivalent of an auction legal pack - but, depending on who prepares the HIP, less thorough and less professional! :eek:

GMAC-UK

Though one of the voluntary inclusions is the Home Condition Report - and that is probably what you are referring too. Not a legal requirement for the hip, but can be requested as part of the hip - as can other documents.

chriserenity

Hi Wig, as a HIP provider myself I can help you here.

As long as there are no complications e.g. the property is on the border of 2 water authorities or the Domestic Energy Assessor/Home Inspector cannot gain access to the property, the HIP should take around seven days to complete in its entirity.

That is not to say you need to wait this long to market your house. Until the end of the year HIPs must only be ordered before a property can be marketed. After the start of the new year the following documents must be available before marketing can commence:

The Index
The Sale Statement
The Energy Performance Certificate
The Registry information (unless unregistered)

I would expect these documents to be available no more than three days from ordering the HIP. The rest of the HIP documents are not required for marketing to commence and can legally be added up to 28 days from ordering.

The buyer and all potential buyers have a right to be provided with a HIP copy by the seller and the seller may charge a small fee for producing the documents. In practice though, many HIP providers are also making them available online for free on 'display' websites - I'm not sure if I'm allowed to give an example sorry.

If the property has five bedrooms and was first marketed in September, a HIP will have been ordered for that property (4 bedrooms and above needed HIPs from August 1st). That same HIP can be used to remarket the same property up to a year after the HIP was produced.

The HIP does not include a valuation and never did. The HIP was to include a mandatory Home Condition Report which contained information about the physical condition of the property but that document was made voluntary when HIPs were introduced on August 1st. This and other documents are available on request.

As Debt Free Chick said, there is as much variety in quality in terms of HIP providers. HIPs are a new industry so the bad apples have yet to be plucked from the barrel.

Hope this helps.

pennylane99

above spammer reported....