Improved information in HIPs will bring benefits for consumers

Published	29 July 2008

A proposal to further enhance the home buying and selling process for consumers by presenting information in a simpler way up front in a Home Information Pack, was announced today.

A consultation is underway into including a Property Information Questionnaire (PIQ) as a mandatory part of HIPs to improve the product for both buyers and sellers.

The questionnaire has been developed with the industry and is designed to provide information that is not only important for buyers to know but is also easy for sellers to provide without professional help. This will help reduce issues coming to light that delay or cause transactions to fail.

Housing Minister Caroline Flint said:

"Having the right information about a property at the beginning of the home buying process is essential if we are to reduce delays and cut down on wasted costs for both buyers and sellers.

"HIPs are an important first step in achieving greater efficiency and the Property Information Questionnaire will only improve on this, ensuring the buying and selling process is simpler for all."

The questionnaire would include information such as:

Building work carried out to the property;
Information on energy and utilities;
Details on parking arrangements;
Council tax banding.

The PIQ would be a simple form that is freely available to download from the Communities and Local Government and HIP provider websites.

If the consultation recommendations are accepted the new PIQ would become part of the HIP from 1 January 2009.

The quality of leasehold information provided in the HIP is also set to be improved. A consultation has begun into including more leasehold details in HIPs following recommendations by Ted Beardsall, deputy chief executive of HM Land Registry, who was asked to advise on leasehold information.

Leasehold information would also include details about the cost and use of leasehold property and a copy of the lease. At the moment a temporary provision only requires a copy of the lease to be included.

These changes will build on improvements already made to the home buying process. Earlier this year we announced we were working with the industry to improve the quality of services provided by property professionals, including ways of ensuring agents and HIP providers prepare the HIP as soon as possible so it is available to potential buyers early in the buying process.

The consultation document can be found at:
www.communities.gov.uk/housing/buyingselling/homeinformation/publicationsabout/.

Notes to editors

1. The PIQ is not intended to replace the work of conveyancers and other property professionals, who will continue to be needed until a transaction is finalised.

2. The consultation into the PIQ closes on 30 September 2008.

3. Ted Beardsall convened a working group of industry and consumer representatives to advise on improving leasehold information in HIPs. His report Local Property Searches and Leasehold Information was published on 12 June.

4. The temporary provision on leasehold information included in the HIP expires on 31 December.