Summary

In mid summer 2007 everyone who wants to sell a property will have to prepare a Home Information Packs before they put it on the market. This article explains what the Packs will have to include what theyll cost - and whether we expect them to work!

Mortgages. Big changes in the buying and selling of houses.

Author: Michael Challiner (life insurance)

Brokers Online offers cutting edge articles and information about Life Insurance, health insurance and loans.

On June 1 st 2007, the law concerning the buying and selling of houses changes. From that date onwards everyone who wants to sell a house has firstly to prepare a Home Information Pack (HIP).

And if you dont? Youre in the frame for a £200 fine! Its also probable that estate agents will also insist on you having the Pack ready by the time they put your home on the market. Certainly, buyers solicitors wont do a thing until you provide the Pack. All in all, you dont have an option - youll have to go along with the law.

So what has to go in the Pack? (cheap car insurance)

The Government has yet to confirm the final details but at the moment, it proposes that your Pack must include the following information:

Search results from H.M. Land Registry
Replies to anticipated initial enquiries - these are the currently raised by the buyers solicitor
Copies of any planning, listed building and building regulations consents and approvals. If you dont have these, youll need copies from your Local Planning Authority
And for new properties, copies of building warranties, electrical test certificates, and any other warranties or guarantees attaching to the property.
A draft sale contract

It is also proposed that the Pack should contain two items currently obtained by the buyer:

A professional independent survey of the property called a Home Condition Report. This is expected to be mid-level survey like the current Homebuyer Survey and will offer far more information than a lenders valuation report - but the Government has yet to announce the details. However, it seems likely that the Report will have to comment on the propertys state of repair, its energy conservation efficiency, the number and type of rooms and parking arrangements. Both buyers and sellers will have a legal right to rely on this Report and therell be no need for buyers to obtain their own reports or surveys. We expect lenders to make their own valuations as they do now, but theyll want to maximise the use of the new Home Condition Report to improve their valuations and cut costs to consumers.
Replies to searches made of the Local Authority

In addition, if the property is leasehold:

A copy of the lease
The most recent service charge accounts and receipts
Details of the buildings insurance and receipts for the premiums paid.
And finally, any regulations made by the management company or landlord

And how much is all this going to cost? The Government believes that the Pack is likely to cost sellers around £825 including VAT. But they claim these are not additional costs.

Click here for part 2 (health insurance)

Did you know?
Secured loans always attract the lowest interest rates. Thats because the lender is protecting his risk by taking a legal charge against your property. Then, if there is a default, the lender can call in the loan and, in the final event, sell the property in order to recover the money you owe.

Did you know?
Unsecured loans tend to attract higher interest rates. Thats because the lender is taking a bigger risk by lending without taking a legal charge against your property. Then, if you default, the lender must resort to the Courts to recover the money you owe.

Did you Know?
The concept of medical insurance was proposed in 1694 by Hugh Chamberlen. In the late 19th century, early medical insurance was actually disability insurance, in the sense that it only covered the cost of emergency care for injuries that could lead to disability. This insurance model continued until the early 20th century when patients were expected to pay all other health care costs out of their own pocket under what is known as the fee-for-service business model. Modern medical insurance programs emerged mostly after the 2 nd World War.

Today in the UK, most comprehensive private medical insurance programs cover the cost of routine and planned health care procedures, although emergency care is still largely the province of the National Health Service. (life insurance)

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