Home Information Packs (HIPs) - info

Since 14 December, Home Information Packs (HIPs) have been legally required for all properties placed on the market. Your HIP will need to be ordered before your property can be marketed. If you're buying or selling a home, you will need to know about Home Information Packs (HIPs).

As a seller, providing a Home Information Pack up-front should mean that buyers are able to make more informed decisions about buying a home and should reduce the likelihood of nasty surprises coming up later in the process and delaying the sale.

As a buyer, the HIP provides important information about properties that you are considering buying.

A Home Information Pack will contain the following:

• An Index of Contents
• An Energy Performance Certificate
• A Sale Statement
• Evidence of Title (for registered properties)
• Searches
• Leasehold/commonhold documents where appropriate.

The Home Information Pack Index provides a checklist for sellers, buyers, estate agents and enforcement authorities. Where a document that must be included in the Pack is unavailable, the Index must say so, give the reason why it is missing, and indicate what steps are being taken to obtain it. Where documents are added to, or removed from, the Pack at a later stage, the Index should be revised accordingly.

The Energy Performance Certificate tells you how energy-efficient the home is on a scale of A-G. The most efficient homes, which should have the lowest running costs, are in band A. The Certificate also tells you, on a scale of A-G, about the impact the home has on the environment. Better rated homes should have less impact through Carbon Dioxide emissions.

The average property in the UK is in Bands D-E for both ratings. Recommendations are included in the Certificate about ways to improve the home's energy efficiency to save you money and help the environment.

Once it is available, the EPC should be included in any written or electronic property particulars issued by an agent or a vendor.

The Sale Statement should provide some basic information about the sale, including:

• The name of the seller and the address of the property being sold
• Whether the property is freehold, leasehold or commonhold
• Whether the title is registered or unregistered
• Whether or not the property is being sold with vacant possession.

The Pack should include the following Standard Searches:

• The local land charges register relating to the property being sold. If the search is carried out by the local authority, an official search certificate will be provided.
• Other records held by the local authority on matters of interest to buyers, such as planning decisions and road building proposals.
• The provision of drainage and water services to the property.

The Evidence of title documents prove that the seller owns the property and therefore has the right to sell it. Where the property being sold is registered, certain documents that are available on request from the Land Registry must be included in the Pack. These provide an up-to-date official record of who owns the land, and consist of:

• Official copies of the individual register (made up of a property register, proprietorship register and, typically, a charges register)
• An official copy of the title plan.

For leasehold properties, the following needs to be included:

• The Lease, which sets out the legal rights and duties of the leaseholder and landlord and the number of years the leaseholder is entitled to the property*
• Details of the Ground Rent and the Service Charges payable for the property, covering repairs, maintenance and improvements to the building and shared parts.

* Leasehold documents: From 14 December 2007, only the lease is compulsory. Other leasehold documents are authorised for inclusion, but are not mandatory.