seller information
What is a Home Information Pack (HIP)?
A HIP is a document that provides information for the buyer on the property you are selling. The document contains the following:
- Energy Performance Certificate - This indicates how energy efficient your home is and suggests how you could make improvements.
- Sale Statement - This provides your name, the address of the property you are selling and its price.
- Evidence of Title - This contains copies of documents that prove your ownership of the property and any rights or restrictions on the property.
- Standard Searches - Searches are made at your local authority, your local water company and certain other bodies to find out about things such as where drains and sewers are laid and whether there is anything that may affect the value of the property (e.g. planning permissions etc).
- The Lease - Usually for flats and apartments this gives information about the lease.
You can choose to include other information if you feel it will improve your chances of selling. This can include things such as a Home Condition Report (a type of survey), guarantees, additional searches etc.
Do I need a pack?
If your home has been continuously for sale since before HIPs became compulsory (see the dates below) you will not need a pack if you change estate agents provided your new agent starts marketing your house on the same day your old agent stops marketing it. However from 1 June 2008 you will need a HIP to continue marketing your home.
If your home has four bedrooms or more and you put it up for sale on or after 1 August 2007 you need a HIP.
If your home has three bedrooms and you put it up for sale on or after 10 September 2007 you need a HIP.
If your home has two bedrooms or less and you put it up for sale on or after 14 December 2007 you need a HIP.
Up until 30 May 2008 you can start to market your property as soon as a pack is requested. However from 1 June 2008 you will have to wait until the pack is produced before you can start marketing.
Here at Lifestyle Homes we appreciate how confusing the rules about HIPs can be, so if you are unsure of anything please give us a call.
How long does the pack last?
As long as your home remains on the market there is no need to update the HIP. However if you take your property off the market and put it on again you will need a new pack unless one of the following applies:
- The reason you stopped selling was because you had accepted an offer but this sale has now fallen through. Provided you put your home back on the market either within a year of when you first put it on, or within 28 days of the sale falling through (whichever is later) you will not need a new pack.
- You stopped selling for any other reason, for example you want to change your estate agent. In this case you can use the same HIP as long as you put your property on the market again within one year of when you first put it on.
How much does a pack cost?
This varies from one estate agent to another because some estate agents charge a mark up on the price they get from the pack provider, or they vary the price depending on the size or value of your home. We don't believe in this practice at Lifestyle Homes so we put you in direct contact with our chosen HIP providers and you pay them direct. Currently if you put your house on the market with Lifestyle Homes you will pay approximately £295 plus VAT for your HIP. (Alternative sentence: To see what you can expect to pay when you put your home on the market with Lifestyle Homes see our Terms of Service page.)
How do I get a pack?
When your estate agent comes to value your property they should explain all about HIPs. At Lifestyle Homes for example we will show you a sample of a HIP and tell you the name of the company who will provide it for you. When you decide to list your property with us we will give the company your contact details. The HIP provider will phone you to arrange a date to come and do their energy assessment; they will also arrange your payment. The pack would usually be with you within one week of the energy assessment.
It's a good idea to keep the pack handy for when you are doing viewings in case a potential buyer asks to see it. But don't let them take it away; if a potential buyer asks you for a copy to keep you should direct them to your estate agent. Estate agents are obliged to provide copies to buyers free of charge.
Help! I'm still confused
Don't worry. Lifestyle Homes is here to help. If you are thinking of putting your house on the market or changing your estate agent, just give us a call and we'll sort out what needs to happen.
Advice for Sellers
Here are eight simple steps to make selling your home easier and less stressful:
One: Consider your reasons for selling
Whatever your reason for selling it's a good idea to think about what you want to achieve from the sale. For example, you might want to move quickly because of work commitments or you might want to get the best price possible because you need cash for something else in your life. Having a clear idea about what you want to achieve will help your estate agent to help you sell your house.
Two: Should you find a place to buy before you put your house up for sale?
This is a real chicken and egg question and so much will depend on your other circumstances. What we can say is that if you find a property that you want to buy, you will be in a much stronger position with the seller of that property if you are on the market already or even have a buyer for your property. At the very least it's probably a good idea to have done your research beforehand so that you know which estate agent you will appoint and which solicitor and financial/mortgage advisor you will use.
At Lifestyle Homes we can help you find a good solicitor and independent financial/mortgage advisors.
Three: About Home Information Packs
From 14 December 2007 you will need a Home Information Pack (HIP) to sell your home. Your estate agent should be able to advise you on this.
At Lifestyle Homes we do not charge a mark up or take commission on HIPs so you pay just the basic price.
Four: Do your research
One of the first things you'll probably do is look on websites like Rightmove and Hometrack to find out how much properties are selling for in your area. But you need to be cautious with this information because it won't give you the full picture. For example, the price at which you see a house for sale is not necessarily the price it goes for; and on sites like Hometrack where you can see real past prices it doesn't tell you what condition those properties were in. This is where you need an estate agent to complete your research.
Five: Find an estate agent
When choosing an estate agent one of the first things people think about is how much it will cost. It's true that this is important, but you need to think about the total picture:
- Can you work with this estate agent?
- Does the estate agent listen to you?
- Is the estate agent clear and open about fees and contract matters?
- Have you seen examples of their work - photographs and brochures?
- Can the estate agent show you testimonials?
- Does the estate agent come across as having a real passion for what they do?
- Do they have a clear marketing strategy?
- Can they give you advice on how to present your home?
- Are they available to talk to you when you want to talk?
If you would like to find out more about Lifestyle Homes and how we can help to sell your home, just give us a call - we're open from 9am to 9pm every day of the week.
Six: Be realistic
Some estate agents will give you a top end valuation for your property because they think it will flatter you and you will give them your business. You then find a few weeks later that the agent advises you to reduce your asking price because the house isn't selling. It's important to be realistic about what price you can achieve in any time frame. Overpricing your property can put off potential buyers.
At Lifestyle Homes we'd be delighted to provide you with a free valuation on your property. We can do this during weekdays and at weekends, in the daytime or in the evening. Just give us a ring or use the contact form to request a valuation.
Seven: Presenting your home and dealing with viewers
The way you present your home can really make a difference in achieving a quick sale. At Lifestyle Homes we provide free advice to our clients on home presentation, but here are a few general points to consider:
- Give your house a thorough clean and tidy before each viewing.
- Open some windows to freshen the air, but if it's cold outside close them before the viewing and make sure the house is nice and warm.
- Switch off the TV and encourage the kids to take the dog for a walk. Too many people and too much going on in the house means buyers won't relax and if they're not relaxed they are less likely to buy.
- Have some fresh flowers around the house.
Treat viewers as guests you have invited to your home. Be friendly and talk about general things, not just the house, as this will help them relax and feel at home. Show them around at their pace. If your house has small rooms only one of you should show them around as it might start to feel crowded. Be honest in responding to their questions.
Eight: Dealing with offers
A good estate agent will try to get you as good a price as possible for your property, but a good estate agent will also give you sensible advice about dealing with the offers you receive. For example somebody might offer you a top price for your property but not have sold their own; somebody else might offer you less but be in a position to move quickly. Your estate agent will help you consider your options.
