Insurance News Archive
Hips debate hots up
The issue of home information packs (Hips) has taken centre stage as pack providers and estate agents line up against each other.
The Association of Home Information Pack Providers (AHIPP) claims that the property chain will be strengthened with the introduction of Hips, especially those with home condition reports (HCRs).
Mike Ockenden, AHIPP director general, said: "A huge number of transactions balance tentatively, their fate resting on the purchaser next in line. When someone is forced to pull out the whole chain can collapse resulting in lost money and time for buyers and sellers and estate agents.
"Sellers are left desperately scrabbling to get their property back on the market to achieve another sale quickly as possible. The Hip, in conjunction with the HCR will greatly help to ease this problem, with sellers able to get another buyer on board faster than ever before with timely surveys and searches already completed."
However this has been refuted by estate agents.
Peter Bolton King, chief executive of the National Association of Estate Agents (NAEA), explained that most sales fell through because of buyers getting "cold feet", something Hips will not be able to stop.
He said: "I suppose more information will be available, so people will not be able to use lack of information as an excuse for backing out.
"Some fail because of bad surveys, but the home information pack will not prevent this now that the home condition report element has been removed."
He added: "I really, really do not think that what is left of Hips will do an awful lot to prevent house sales falling through."
AHIPP starts its roll out of Hips in November in six locations across the UK before they come into force nationwide officially in July next year.
29 Aug 2006
