Conservative MP for Rochford and Southend East James Duddridge questioned the purpose of Home Information Packs (HIPs) in a Parliamentary debate yesterday.
Having requested information on the impact on the housing market from the Department for Communities and Local Government, Ian Wright, Parliamentary under-secretary for the department told him in the House:
“Independent research into the impact of home information packs was undertaken by Europe Economics.
“The implementation of HIPs is being kept under review and an evaluation of the HIPs programme is currently planned for 2010 by updating “The HIPs Baseline Research Report”.
Mr Duddridge continued his line of questioning, asking Mr Wright:
“In another survey, 89 per cent. of professionals said that HIPs would not benefit buyers.
“In the age of rhetoric and of trusting professionals, why should we believe what the Government say, not the professionals?”
Mr Wright, however, refused to accept the results of the survey, saying that professionals welcomed HIPs. He said:
“Professionals are telling us that information is vital, and giving buyers information about probably the biggest purchase in their lives benefits the whole home buying and selling process.”
Mr Wright went on to quote Roger Wilson of estate agents Cornells, who said: “Knowledge is key when it comes to building confidence for any big purchase and prospective home buyers need to do their research and gather as much information as possible.
“Buyers will have more information about a home from the very first day it goes on the market.”
Mr Wright went on to argue that HIPs speed up the homebuying process, avoiding deal failures and the waste of administrative costs this causes.
He said: “Electronic conveyancing can speed up the process hugely.
“We remain committed to ensuring that we can simplify and streamline the home buying and selling process.
“Some £1 million a week is wasted in abortive home purchases and sales, and that can cause heartache to the people involved and disruption to the economy, so we remain committed to HIPs.
“We want to provide information up front to allow buyers to make an informed choice.”
I have recently had my property on the market. The HIPS cost in excess of £200. Not one person who viewed the property asked to see the HIPS and the environmental survey was a waste of time.
Even the information from the searches is so basic, solicitors can’t use it.
A total waste of money which serves to generate additional income from the VAT charged on it.