HIPs & EPCs - Facts & Fiction.
Some questions and answers about the HIP and EPC.The HIP has now been suspended.
Click on this page to find out more about the suspension of the HIP and what you need to know about the EPC and the new rules on how you sell your home.
Inspect your Energy provides direct EPCs and will give you as a home seller the advice you need.
The following information has been given to answer FAQ pre the suspension of the HIP.
The EPC is now the only document that you need as a home seller or landlord. Find out more here.
Also look at the resources page for documents to read that may help.
Direct help for you, phone 0161 7679470.
The Q & A below tell you about the laws regarding the HIP before 21 May 2010.
The Election, what should i do ?
It is the intension of the Conservatives to remove the HIP, if they win the election, at this time as a seller what should you do? You could and maybe should wait and see. In any event the EPC will be still a required part of the home seller’s process when selling your home. My business is now advising home sellers to see the outcome and wait for
further legislation. This will be updated. The Energy Performance Certificate EPC will be needed to those that sell or rent under EU law.
Will the HIP be scrapped ?
The HIP has now been scrapped as of 21 May 2010.
As a home seller, this is and must be a confusing situation. We can only advise you on the current law. It is up to you if you want to wait and see. The HIP is still an effective document that will help to sell your home. This business is being honest to sellers on this matter. As far as we know the EPC will still be part of the home seller’s requirements. You are still required to obtain a HIP to sell your home, its up to you if you want to wait for new legislation on the Home Information Pack. This business is still here to help.
My Home has been on the market before the HIP?
An EPC is required for the sale of all homes since October 1 2008, including those properties that do not need a HIP. The seller is the relevant person under EPC legislation and is responsible for making the EPC available. Contact an independent DEA to carry out the EPC. In relation to the HIP as long as continuous marketing has occurred you have avoided the requirement to have a HIP.
More changes to the HIP from April 6th 2009.
From 6 April 2009, the 'responsible person' (in most cases, the estate agent) will not be 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. In most cases we can provide your HIP to market in only a few days.
What type of houses need a HIP?
On 14th December 2007 HIPs rolled out to the whole market, not just larger houses – Aug 1st 2007 for 4 beds or more, 10th Sept 2007 homes with 3 beds or more.
How long does the HIP last?
As long as the property is marketed continually, this does not have to be with the same agent, the HIP remains valid. When the sale of your property is stopped and then remarketed a new pack would normally be required to update documents which are now out of date. However, the seller can use the same pack in the following circumstances.
If it was stopped due to an offer being accepted and this has now to be remarketed due to this offer falling through. Providing that this is done within one year of the date when marketing first began, or if later, within 28 days of the sale falling through.
If marketing is stopped due to other reasons, the seller can remarket with the same pack as long as this is done within one year of the date when marketing first began.
What happens if I can’t sell or take my home of the market, do I still have to pay?
Ultimately you will have to pay for the Home Information Pack, it can be paid upfront or a deferred payment option is available. It is also possible to have a no sale no fee option, this can involve complex terms and a large cost can be incurred. Read these terms and conditions carefully with this payment option before you enter into this type of agreement.
Can I only get a Home Information pack from my estate agent?
A HIP does not have to be ordered through your estate agent. They can of course arrange the HIP on your behalf, it is unlikely that they will be doing the HIP in-house they will be using a preferred HIP provider. It may be in your interest to use a direct local HIP provider, as in most markets going direct may save you money.
Here in Whitefield, Manchester, Inspect your Energy can offer a personal and prompt service. You don’t need to order on-line or deal with call centres, just give us a call on 0161 7679470 or 07719 363956.
Does the HIP need to be completed before I can accept an offer?
One of the main concepts of the HIP is having the required information prepared; this will enable a smooth buying and selling process. Completing the HIP once an offer has been accepted would return as to the position pre HIPs resulting in unexpected delays that may hold up the sale. This is about to change. See below. You can market you home once certain documents are available.
How long will the HIP take before i can market my home?
We provide a lite HIP, this should only take a few days once certain documents have been included. The EPC, PIQ, index, sales statement, and land registry documents.
What are the new rules that are coming in from April 6th 2009?
From this date the Home Information Pack will need to be available from the first day your property is put on the market. Also the HIP will contain a new document - the PIQ a Property Information Questionnaire. The PIQ, which you will need to complete, will provide a summary of key information about your property. You can download an example of a PIQ on the resources page.
What is the PIQ?
The intention of the PIQ is to provide the buyer with a helpful checklist of information as they view the property. Not to replace normal enquiries made in relation to the conveyancing process but to help to reduce surprises coming to light further down the line. We will guide you on how to fill out the PIQ, using a HIP provider who is local and who will visit your home is your best option.
Are there going to be changes to property searches as well?
Every search in a HIP must be complete - insurance can not be provided to cover missing data. Those providing The Home Information Pack must therefore provide complete searches.
I am selling my holiday home, do i need a HIP?
NO - if it is restricted under local planning regulations to holiday or seasonal occupancy. Yes - if you have been using it as a normal house or flat which just happens to have been used for holidays, a HIP will be needed if you decide to sell. A static caravan home is also exempt.
Are there other exemptions?
Exemptions to the HIP regulations.
Mixed sales e.g. shop with a flat.
Restricted use or occupancy such as holiday homes.
Sales of portfolios of properties.
Private sales, with no public marketing at all (see below).
Non-residential properties.
Right to buy.
Properties that are about to be demolished or are unsafe.
I am selling my house privately do I come under the HIP regulations?
If you market your house yourself it is not a private sale – under the HIP regulations a private sale is where no marketing takes place at all and an individual, friend or relative approaches you with an offer. Not using an estate agent does not mean you have avoided the HIP, in theory just telling people in your local pub that you are selling is marketing.
What if I build a house myself?
New builds (self build or otherwise) – need a full HIP from April 6th 2008.
I am renting out a house, do I need a HIP?
Rented properties do not need a HIP – however from October 2008 they will need an Energy Performance Certificate (EPC). This document will last for 10 years and only needs to be shown to new tenants, you dont need a new EPC every time a new tenant moves in. To find a local DEA contact us. Look at my landlords page.
What happens if I then decide to sell this house?
If it is sold with a sitting tenant, it does not need a HIP. If it is sold privately to the tenant, without any other form of marketing, it does not need a HIP. If the property becomes empty and you market it for sale it will need a HIP.
Can I do my own HIP?
Yes it is possible. Template documents can be obtained from the Home Information Pack Government website. You can also get documents from the Land registry, local council and water companies. The EPC will be still needed and this can only be carried out by a DEA or HI, you can order the Energy Performance Certificate direct from us.
An estate agent has told me that I can only use their HIP?
The Government says "Any estate agent has a duty to ensure that they are complying with HIP duties. There is no reason why an agent cannot rely on a HIP provided by the seller, a different estate agent or a HIP provider other than the one they would normally use, as long as they are content that it is compliant. Further information can be found on our website: www.homeinformationpacks.gov.uk". Any HIP that meets the regulations is perfectly legal and acceptable.
I contacted an estate agent and they said the HIP is free?
All documents will be needed to be paid for, such as the EPC, the EA will be using this so called free offer to get your business. They will get the fee back by the sales commission. This free HIP may have other drawbacks, they may ask you to pay if you decide to use another EA. Our HIP can be used for any estate agent.
I don't understand why a leasehold property costs more?
A copy of the lease to be compliant will be obtained from the Land Registry. This document needs to be included. Without this your solicitor will charge for this, without this document the HIP is not valid.
I don't know about the Freehold?
Ask us to check or go to the Land Registry web site, enter your house number and postcode. This should give you the tenure. If it is a Leasehold title this will be included in the Home Information Pack.
What if I order a HIP directly, is this done on-line with lots of forms to fill out?
Inspect your Energy will speak to the home seller and ask a few questions in relation to the age, type and size and if it is a freehold or leasehold property. Your contact details and how you would like to pay will also be needed, it is a very simple process. If you dont know details about leasehold or registered title we will obtain this for you.
How do i order a HIP?
Just phone us, as soon as you confirm your order we will arrange to carry out the EPC and help with the PIQ. We will send you an email confirming the order. A HIP order Ref No. will be given so you can see the packs progress via HIP2VIEW, updates will also be sent by email or SMS text.
What does the HIP look like?
The Pack can be a very large document - see HIP example. Expensive to print and post, so most providers put the pack on an online database so that it can be downloaded. We also provide a printed copy and your estate agent will have the file sent to them or anyone else that needs to see the HIP. A copy of the EPC can be also downloaded from the EPC Register, you just need the Report Registration Number (RRN). The estate agent or you will decide who has access to the information that the HIP contains, this information will help potential buyers who have a genuine interest in purchasing your property. If you order a HIP you will see its progress via HIP2VIEW.
As my house has been on the market before HIPs came in what happens if I change estate agents, will I need to get a HIP?
If your house has not been taken off the market i.e. continuous marketing has occurred, then no, you will not need to commission a HIP. If, however, there was a break in marketing you will need to supply a HIP.
I took my house of the market as the sale fell through?
As long as it is remarketed within 28 days of the sale falling through you do not need a HIP.
Does the Home Information Pack duplicate work for my solicitor?
The HIP provides official documents that have always been required when selling your home such as Land Registry documentation and the water and drainage search. This is now supplied at the start of the home buying and selling process, there is no need for this to be supplied twice.
The Energy Performance Certificate.
What is an EPC?
Download this guide. This will explain the EPC,
More FAQs about the EPC, on the EPC register.
The Energy Performance Certificate (EPC), is part of the Government's commitment to reducing carbon emissions. It looks at how efficiently your home is heated and how it retains that heat. It also assesses the carbon emissions of the property. The EPC assessment, which can take up to an hour depending on the size of the property, can only be conducted by a qualified and licensed Energy Assessor or Home Inspector. The assessor mainly collects data which they then enter into a computer programme back in the office, which works out the rating (A-G) for your property. This is shown on a graph like the ones for fridges.
The EPC also makes some recommendations on improvements that can be made (some cheaply) to improve your rating and save you money on fuel bills.
Information about improving the energy efficiency of your home can be found at www.energysavingtrust.org.uk.
The Home information Pack Government consumer web site - All the info you need to know about the HIP
The HIPs guide - Advice for buyers and sellers.