HIPs - All you need to know

What is a HIP (Home Information Pack)?

A HIP is a set of documents that provides the buyer with key information on the property and must be provided by the seller or the seller's agent. It is a legal requirement to have a HIP and you can't market your property without one.

HIP's have been introduced by the government to improve the house buying process

What does a HIP contain?

The HIP is made up of required (compulsory) and authorised (optional) items.

From 6 April 2009, the HIP must be available and contain the following documents on the first day a property is put on the market:

Compulsory documents

The following documents must be included in your HIP:

Freehold properties

• Home Information Pack Index
• the new Property Information Questionnaire (PIQ), from 6 April 2009 
• Energy Performance Certificate (EPC) or Predicted Energy Assessment (PEA)
• sustainability information (required for newly built homes)
• sale statement
• evidence of title
• standard searches (local authority and drainage and water)

Leasehold properties

• all the compulsory documents above
• a copy of the lease leasehold properties common hold documents, where appropriate.

Optional documents

Other documents can be included within your HIP, but these are optional. If they are included, it could help to speed up the sale and ensure that the process goes more smoothly. These include:

• Home Condition Report
• legal summary
• home use/contents form
• other documents like specialist searches (for example, the seller may choose to include a mining search in a mining area)

Why do you need a HIP?

A HIP is a set of documents that provides the buyer with key information on the property and must be provided by the seller or the seller's agent. It is a legal requirement to have a HIP and you can't market your property without one.

The HIP lets buyers see important information about the property at the start of the process, free of charge. This means there is less chance of buyers becoming aware of any surprises at the end of the process. The HIP can help reduce delays and extra expense to the buyer and seller.

You don't need a HIP for:

• properties where there is no marketing, for example if you are selling to a member of your family
• non-residential properties
• properties limited by law to use as holiday accommodation or occupation for less than 11 months per year
• mixed sales, for example a shop with flat
• sales of portfolios of properties, for example selling two properties together
• properties not being sold with completely vacant possession, for example with a sitting tenant
• unsafe properties and properties due to be demolished
• properties sold through the '‘Right to Buy', 'Right to Acquire' and 'Social HomeBuy' home ownership schemes

Information for Buyers

From 6 April 2009, the HIP must be available on the first day a property is marketed for sale. If you are buying a property, just ask whoever is advertising it for sale for a copy of the Home Information Pack. This is usually an estate agent, but could be another business or individual.

They must give you a copy of the pack free of charge. However, they may make a reasonable charge to cover the costs of copying and posting it.

Information for Sellers

From 6 April 2009, the 'responsible person' (in most cases, the estate agent) are not allowed to market your property unless the HIP is available. You'll need to make arrangements to have a HIP compiled (including paying for it) along with other preparations for selling your home. However, if there's a delay in getting certain documents, like the local searches, these can be added after your house is put on the market.

Who compiles the HIP?

You can compile it yourself or you can hire an estate agent, solicitor or HIP provider to do it for you. Always make sure that your HIP provider is signed up to a code of practice, like the HIP Code.

How much is a HIP?

Frank Wyles & Co can arrange an HIP on your behalf for, please contact us for more information

EPCs - All you need to know

Energy Performance Certificates (EPCs) give information on how to make your home more energy efficient and reduce carbon dioxide emissions. All homes bought, sold or rented require an EPC. Find out what EPCs look like and what they contain.

Energy Performance Certificates - What they tell you

EPCs contain:

• information on your home's energy use and carbon dioxide emissions
• a recommendation report with suggestions to reduce energy use and carbon dioxide emissions

Energy use and carbon dioxide emissions

EPCs carry ratings that compare the current energy efficiency and carbon dioxide emissions with potential figures that your home could achieve. Potential figures are calculated by estimating what the energy efficiency and carbon dioxide emissions would be if energy saving measures were put in place.

The rating measures the energy and carbon emission efficiency of your home using a grade from 'A' to 'G'. An 'A' rating is the most efficient, while 'G' is the least efficient. The average efficiency grade to date is 'D'. All homes are measured using the same calculations, so you can compare the energy efficiency of different properties.

Around 27 per cent of the UK's carbon dioxide emissions come from domestic homes. Carbon dioxide contributes to climate change.

The recommendation report

EPCs also provide a detailed recommendation report showing what you could do to help reduce the amount of energy you use and your carbon dioxide emissions. The report lists:

• suggested improvements, like fitting loft insulation
• possible cost savings per year, if the improvements are made
• how the recommendations would change the energy and carbon emission rating of the property

You don't have to act on the recommendations in the recommendation report. However, if you decide to do so, it could make your property more attractive for sale or rent by making it more energy efficient.

The certificate also contains:

• detailed estimates of potential energy use, carbon dioxide emissions and fuel costs
• details of the person who carried out the EPC assessment
• who to contact if you want to make a complaint

What an EPC looks like

Information about energy efficiency and carbon emissions is summarised in two charts that show the energy and carbon dioxide emission ratings. The charts look similar to those supplied on electrical appliances, like fridges and washing machines.

Which buildings need an EPC

An EPC is required when a building is constructed, rented or sold. A building will need an EPC if it has a roof and walls and uses energy to 'condition an indoor climate'. This means it has heating, air conditioning or mechanical ventilation. For example, a garden shed would not need an EPC if it doesn't have any heating.

The building can either be a whole building or part of a building that has been designed or altered to be used separately. If a building is made up of separate units, each with its own heating system, each unit will need an EPC.

Which buildings don't need an EPC

The following buildings don't need an EPC when they are built, rented or sold:

• places of worship
• temporary buildings that will be used for less than two years
• standalone buildings with total useful floor area of less than 50 metres squared that aren't used to provide living accommodation for a single household
• industrial sites, workshops and non-residential agricultural buildings that don't use a lot of energy

EPCs for business premises

Owners of all commercial buildings also have to provide an EPC when they sell or let commercial premises.

How to get an EPC & how much will it cost?

If you are Selling or Letting your home you have to provide an EPC.

Frank Wyles & Co can arrange an EPC on your behalf for, please contact us for more information.