HIP Receives a Tepid Reaction

17th April 2007

The controversial Home Information Packs become mandatory on June 1 - and one of the first packs to be piloted in Basingstoke has been given a lukewarm reaction by the vendor, estate agent and solicitor.

Vendor Martin Ogilvie bought his then brand-new Croudace house in Great Oaks Chase, Chineham, in 1992, which has just recently gone under offer through estate agent Charlton Grace with an asking price of £235,000.

Although HIPs are not yet a mandatory requirement of the selling procedure, Mr Ogilvie decided to be one of the first Basingstoke vendors to trial a pack, which includes an Energy Efficiency Certificate, Land Registry Search, Title of Ownership and water and drainage details.

He took the decision to have a HIP because he thought it included the now non-mandatory Home Condition Report.

He said: "We liked the idea that it was going to make the selling process more streamlined. We liked the Home Condition Report side so we could do any work we wanted to do."

But having seen his HIP, which puts his house in Band D for energy efficiency, Mr Ogilvie had a tepid reaction.

He believes the certificate is a "rubber-stamping exercise" because of European legislation.

Mr Ogilvie said: "The energy efficiency report is interesting but it could be done by an information leaflet from central government.

"It's something we've got to put up with, but we think there should be more information about it."

The certificate showed that Mr Ogilvie's house has 3.09 tonnes of carbon dioxide emissions a year, which could be reduced to 2.43 tonnes, and the solutions offered to improve the banding was to fit energy-saving light bulbs, insulate the hot water cylinder, and upgrade the loft and cavity wall insulation.

More expensive measures suggested were solar water heating and a photovoltaic system for electricity.

Estate agent Mark Charlton, a founder of Charlton Grace, said: "On energy efficiency, the installation of items such as solar panels and a photovoltaic system would take years to recoup the cost. Other solutions are just common sense.
"I think producing the Land Registry searches will be very good for cutting out the delay from sale agreed to exchange of contracts."

He added: "At least we have now seen what all the fuss has been about and we're HIP healthy."

Jon Coles, a partner in solicitor Brain Chase Coles, said: "We're working with Charlton Grace to produce HIPs for their clients. It's portable and belongs to the vendor."

The pilot pack was free to Mr Ogilivy but, if it had been compulsory, it would have cost £360 or £400 if taken on credit for up to 11 months - or earlier if a sale was achieved.

Mr Coles summed up the HIP as "providing the most basic of information" and would still involve solicitors on raising enquiries during the sale to completion process.