Hip debate reignited

Shadow housing Minister Grant Shapps’ recent confirmation that he would scrap home information packs (HIPs) has re-ignited the debate over what should replace them.

We have been preparing Legal Sellers Packs, which involves the Conveyancer collating all of the relevant documentation in relation to the sale transaction immediately upon receipt of instructions, for our clients for the best part of ten years. This process has helped to reduce transaction timelines by several weeks. The existing legislation is ill founded as it presumes that it takes a long time to obtain searches and that adverse search results are a major reason for transaction failure, neither of which is true. The delays in property transactions are often caused by certain important documents such as guarantee certificates, planning documentation or leasehold management information not being readily available or not being sought out early enough in the transaction to avoid delay.

The Conservatives can change the legislation easily and effectively by insisting that a Conveyancer is instructed to collate a Legal Sellers Pack immediately or before the property is placed on the market for sale. This service is likely to be provided on a no sale no fee basis by the lawyer, at no up front cost to the seller, and hence encouraging more properties onto the market place. This process will allow the purchaser, and their lender, to choose their own searches, which they can rely upon and avoid the duplication process that exists at present.

I hope that Grant Shapps and the Conservatives will listen to the views of practicing Conveyancers, unlike the Labour Party who were keen to rely on the opinion of Estate Agents and Surveyors who, whilst playing an important role in the transaction process, do not fully understand the logistics of conveying property. Let’s hope that the Conservatives consult appropriately and make the correct decisions – we can’t afford another HIP debacle.