The government’s introduction of the home information pack will make home buying and selling faster, easier to understand and more consumer friendly.
As of now it will not be possible to market a property for sale without a valid Home Information Pack.
Recent research shows that almost nine out of ten consumers are dissatisfied with the present system, with almost 30 per cent of transactions failing after an offer has been accepted.
The previous system falls down since key information required to inform buyers’ and sellers’ decisions only becomes available after terms have been negotiated and agreed. This can mean that problems with the property may come to light only after several weeks, by which time the buyer and seller may have incurred significant costs in legal fees, searches and surveys. The pack will address this by ensuring information is available up front.
Responsibility for obtaining local searches and a home condition report is likely to transfer from the buyer to the seller, but since the majority of sellers are also buyers these costs will usually be balanced by corresponding savings.
The real financial benefit for buyers and sellers will be the saving of hundreds of millions of pounds in wasted costs which arise from failed transactions.
What the home information pack may contain
The pack is likely to include copies of the following documents:
terms of sale
- evidence of title (ownership)
- replies to standard preliminary enquiries made on behalf of buyers
- copies of any planning, listed building and building regulations consents and approvals
- for new properties, copies of warranties and guarantees
- any guarantees for work carried out on the property
- replies to searches made of the local authority
- an energy efficiency report, prepared by a qualified assesor
If you live in a leasehold flat
You will also need to provide:
- a copy of the lease
- most recent service charge accounts and receipts
- building insurance policy details and payment receipts
- regulations made by the landlord or management company
- memorandum and articles of the landlord or management company
We at Keith Evans & Company Solicitors will ensure that we keep involved in the production of the packs so that we continue to provide our clients with a full range of services within the market place.
