Halifax press release

Halifax HIP offering

Wednesday 1st August 2007

Halifax Estate Agents (HEA) today announces details of its new Home Information Pack (HIP) service.  A Halifax HIP will cost from £352 + VAT and will be offered on an interest free deferred payment basis*.

From 1^st August 2007 anyone putting a property with four or more bedrooms on the market in England and Wales will have to have a HIP.  Properties with three or less bedrooms will also require a HIP from a later date as the government introduces the requirement on a phased basis**.

Legislation dictates that sellers will not be able to market their property without proof that a HIP has been ordered.

Colin Kemp, Managing Director, Halifax Estate Agents, comments:

"We believe our interest free deferred payment option is great proposition.  Customers can pay once they have completed their property sale and there will be no additional charge for doing this."

"HIPs are new to the market and consumers will be faced with a lot of information.  We have been very clear in the detail of our HIPs offering and have kept it separate from our estate agency fee.  This will allow customers to compare our product with others on the market.  We're offering a very competitively priced product and are confident customers will recognise this."

What's in a HIP?

A HIP is a collection of significant legal and informative documents relevant to the sale and purchase of a property.  Currently, title documents and searches are obtained by the purchaser once an offer has been accepted on a property. 

HIPs must contain:

• Title documents
• Searches (Local Authority and Drainage and Water searches)
• Energy Performance Certificate (EPC)
• And if applicable, leasehold or commonhold information, any new home warranty or report on home not physically complete.

Colin Kemp continues:

"HEA offers a one stop shop for all your home moving needs.  As well as traditional estate agency services, HEA offers competitive fixed fee conveyancing as well as homeowner and homemover reviews designed to help you organise your finances."Ends.

Editors' notes:

* Interest Free Deferred Payment Option – The deferred payment option is being offered by HEA's HIP provider, LMS, to customers selling their property through Halifax Estate Agents.  A £3.50 validation payment will be required up front from either a debit or credit card (this will be deducted from the final balance of the HIP i.e. is not an additional cost).  The outstanding balance will be taken when either:

• completion of the sale occurs
• or withdrawal of the property
• or it is 10 months on from instruction of the HIP

Correspondence will be sent to the customer (e-mail or letter) five working days before collection of the final payment.

Customers not wishing to defer payment do have the option to pay for their HIP at the time of ordering.

Halifax Home Information Packs (HIP) will cost (excluding VAT):

House Price	Standard HIP Pack*	HIP with Environmental Report*	If Leasehold, Commonhold or Unregistered*
£0 - £125,000	£352	+£30	+£49
£125,001 - £375,000	£359	+£30	+£49
£375,000 - £625,00	£369	+£30	+£49
£625,000 - £1,000,000	£379	+£30	+£49
£1,000,000 - £1,500,000	£389	+£30	+£49
£1,500,000 - £2,000,000	£399	+£30	+£49
£2,000,000 and over	£409	+£30	+£49

 

The June Halifax House Price Index revealed that the average price of a property in the UK is £197,461.  A HIP on a property of this value will cost £359 +VAT

** The next implementation will be for all new instructions of 3 bedroomed properties – the time frame for this has not been finalised although the Government has stated it will be when the number of accredited domestic energy assessors (DEA) reaches 2,000.

The regulations state that all existing housing stock on the market prior to the requirement of a compulsory HIP for that particular property (e.g. three/four bedrooms), will have up to 7 months after this date to obtain a HIP if they are still on the market.

Customers will also be able to get information on or order a Halifax HIP by calling 0845 075 7290.