Buying and selling a property doesnt always go according to plan. One in four transactions collapse before contracts are exchanged, wasting time and money.
The government is concerned that many house purchases fall through because of the time it takes to get to completion. Where there is a chain of buyers and sellers, just one person pulling out can ruin a whole series of purchases, costing all those involved money, time and patience. Government research suggests that 350 million is wasted by consumers every year as a result of aborted housing transactions. The government’s solution to this problem is the introduction of Home Information Packs (HIPs).
From 1st Juke 2007 all home owners in England and Wales will need to arrange for a Home Information Pack to be prepared before putting their homes up for sale. The idea is that property sellers will produce a Home Information Pack (HIP) for potential buyers to see before they make an offer.
HIP will not be required for:
properties in Scotland and Northern Ireland
private sales where the property is not offered on the open market
homes held on a lease...