Insurance News Archive

Hips 'cut speculative marketing'

While various organisations and groups have attacked the home improvement packs (Hips) scheme, AA legal services have found that they could benefit buyers by cutting down the number of homeowners speculatively putting their house on the market.

The requirement for every house on the market to have a Hip, which came in on December 14th 2007, has "undoubtedly" meant that fewer homeowners with out a real desire to sell will put their property up for sale, according to James Mollo, product manager for AA legal services.

He said: "Hips naturally focus the mind of the seller before marketing their property. We hope that now only those who have a genuine, considered desire to sell their property enter the market at the front end, and Hips have undoubtedly reduced speculative marketing."

And with a drop in speculative marketing, could come the benefit that fewer property chains will be broken as everyone in on the chain has an interest in selling and on moving the transactions on, he added.

28 Jan 2008