INFO FROM THE NAEA
Consumer research published in March by the National Association of Estate Agents (NAEA) supports the association’s concerns over Home Information Packs (HIPs) and reveals the general public’s true feelings about the increased cost of marketing a property for sale when the packs are introduced on 1 June 2007.
With the help of an independent research company, the NAEA surveyed 1295 adults throughout England and Wales. The respondents all had an interest in the housing market and comprised existing homeowners and those looking to purchase property within the next five years.
More than half (57 per cent) of the homeowners surveyed said they would consider putting their home on the market prior to 1 June 2007 to avoid paying for the HIP. The biggest concern for homeowners on this subject, however, is that they will have to pay for the HIP whether or not the property sells. Peter Bolton King says: “This will undoubtedly create an artificial impact on the housing market by increasing the number of properties for sale prior to the introduction of HIPs. The proposals are complex and the Government has decided to introduce them at the busiest time of the year for estate agents, against our recommendations.”
INFO PROVIDED BY THE GROUP AGAINST THE HIPs (SPLINTA)
The Conservative party on the 9th March visited Leeds to speak on housing matters. Caroline Spellman, shadow secretary of the Office of the Deputy Prime Minister stated Conservative plans to oppose Labour’s planned Home Information Packs. Their press release says: We will oppose the Government’s plans for expensive and bureaucratic new sellers’ packs, and will be opposing the regulations when laid before Parliament. We want to see the removal of barriers to home ownership. Labour’s new Home Information Packs will add up to £1,000 to the cost of selling a home, according to the National Association of Estate Agents, without providing satisfactory assurances to buyers. First-time buyers are likely to be most seriously affected; lacking confidence in the housing market and a firm financial footing, they are more likely to want their own valuation in addition to the pack. We are calling on the Government to halt the introduction of this new roadblock to ownership, and we will be voting against the forthcoming secondary legislation in Parliament.
INFO FROM RIGHTMOVE
Rightmove along with many other HIP providers have spent millions of pounds in anticipation of the new packs.
All HIP providers will all be pressing the Government for the introduction of HIPs (they all wish to be the market leader for this new income stream).
WHAT I THINK
Great Idea, but they seemed to only get advice from yes men/women.
The Government did a pilot in Bristol of only new houses – surprise, surprise it worked well. On the Island we have unregistered land, lots of long leasehold property & flying freeholds – this will only cause problems / expense / delay.
The report showing the condition of the property is not going to be not much use, as a valuation figure is not given & it cant be relied upon by any lender. So another “proper” valuation will have to be carried out.
The searches that have to be provided, go out of date within the average time it takes for a house to be sold.
We were hoping they may have watered it down even further so it wont actually commence. But now the Conservatives are making this a political point (as from last week) - know doubt Labour will not back down – as a matter of principle.
We hope someone will see some sense before these needless costs will be borne by the sellers.
Simon