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HIPS - Home Information Packs

They will cost c£1000 a pop for any vendor wishing to market thier home. Sellers also realise that these packs have to be up - dated (every 3 months I think) so will worry they will pay more than once as properties dont sell within 3 months.

As we approach the HIPs deadline I suspect a huge flood of property may come onto the market as elderly folk in particular seek to avoid this up - front cost.

Sounds a bit like the MIRAS deadline that marked the peak of the last boom.

Supply and demand :rolleyes:

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Guest rigsby II

Another layer of pointless beaureacracy.

Another nanny state directive.

Another excuse for professional parasites to stick their snout in the trough.

I mean look at these questions, its Noddy stuff - hardly a proper survey, you'll still have to have a survey done as a buyer

Home%20Condition%20Report%20Software(2).jpg

And where do they get the idea of £1000 when a homebuyers is about £200 ?

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The big corporate estate agents are planning to offer HIPs as part of the service - i.e. no up-front fee for the seller.

The NAEA and others have been up in arms about HIPs for a long time because there is a belief that this will put some smaller independent agents out of business.

Obviously as a seller you'll have to sign a contract that will say if you don't go ahead with the sale - you will pay for the HIP.

So, estate agent turns up and says: 'I'll put your house on the market for anything you say - because that's the kind of guy I am - and I'll get that nasty old HIP done for you - and you won't pay a penny until the deal is done (I might even just put my commission up 1/2% and do the HIP 'free'). But, if the house doesn't sell you are going to have to bung me £500 or so. What's that you say? You can't sell the house because there are no buyers? But maybe it's too expensive! Tell you what, let's drop the price and then you can sell and you won't have to pay for the HIP - eh? What do you think?

Vendor: 'I think you're having a laugh'

Whatever way you look at it, HIPs will be a laugh.

There is an article on Estate Agency News website about the president of the NAEA stamping his foot on this subject and threatening to pull out of talks!

Another layer of pointless beaureacracy.

Another nanny state directive.

Another excuse for professional parasites to stick their snout in the trough.

I mean look at these questions, its Noddy stuff - hardly a proper survey, you'll still have to have a survey done as a buyer

Home%20Condition%20Report%20Software(2).jpg

And where do they get the idea of £1000 when a homebuyers is about £200 ?

Absolutely, the home condition report is one thing. Lenders will still insist on a valuation survey.

Actually, I think dogbox might be right. This could be the straw ...

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Here's a wheeze. I am starting a new web site to allow people to sell their houses. Before HIPs is introduced, I cordially invite EVERYONE IN ENGLAND AND WALES to list their properties for sale and leave them for sale forever.

Sorry guvnor, my house went on the market before HIPs were introduced.

Maybe if the EA is gonna offer to pay up the initial cost, then they will be unlikely to take on vastely overpriced property that they know isn't gonna shift easily.

No, they won't give a bolleaux - they will have it in the contract that if it does not sell the vendor will pay them for the HIP. They'll price HIPs so they make a few bob on them. Probably make more like that than they will selling houses.

Wonder how many people will buy in. If you want to change agents you'll have to buy the HIP off the agent that prepared it. Will agents that offer HIPs exclude you from joint agency agreements. If the house hasn't sold for say 2 months and you want to change agents - you'll have to buy the HIP and face paying for new searches in 4 weeks time.

The whole thing is an ill-conceived joke. Lots of people have told the government - the ODPM - but, amazingly, they have just blundered on.

Edited by Marina

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Strange, but a Devon EA mentioned exactly that point of HIPS to me yesterday, and was saying that they expected a flood of houses on to the market, on top of the large number they already have on their books, thus prices to fall further !!!, at last.

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The go much further than the basic (non survey) buyers mortgage valuation reports which are often obtained these days as many people don't want to pay for a survey (on the biggest financial/asset purchase of their lives!).

As such, these HIPs will flush out potential problems and put buyers and their lenders on notice of things which, in a downturning market, can only act as a negotiating tool for buyers. At least that is how I see it.

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It will mean realistic pricing. (not… pick a number double it, add 10%..etc)

Anything that takes control out of Estate Agents hands

Is a good move for common sense in house pricing.

nosale27vg.gif

I'll have three pints of whatever you were on at lunchtime. What are you talking about. Anything that takes control out of Estate Agents hands????

How will HIPs affect house pricing?

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Guest rigsby II

I take it that HIPs are compulsory.

Will it be a criminal or civil offence to sell your house without one - whats the penalty for non-compliance.

Does that mean that if you try and sell without a HIP the rozzers will knock on your door ?

Or does it mean that its simply impossible for the solicitor to exchange contracts without one ?

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How will HIPs affect house pricing?

If it costs 1k to put together, and needs to be renewed every 3 months (i.e 1k every 3 months), do you think people will be putting their houses up for ridiculous prices, not selling for 6+ months?

Realistic pricing will be the result.

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The go much further than the basic (non survey) buyers mortgage valuation reports which are often obtained these days as many people don't want to pay for a survey (on the biggest financial/asset purchase of their lives!).

As such, these HIPs will flush out potential problems and put buyers and their lenders on notice of things which, in a downturning market, can only act as a negotiating tool for buyers. At least that is how I see it.

Trouble is - there's always a way round.

As you say most people don't have a full survey done (quite sensibly - they are a waste of money in most cases - merely an inventory - a statement of what is there - not a statement of what is wrong). But if the Home Condition report - like the one someone posted - shows that the pointing to the chimney is iffy - not terminal - just needs attention etc and buyers aim to knock off £500 for every defect - surely all that will happen is agents will say to the clients 'better stick 10k on to allow for what they'll knock off later'.

If it costs 1k to put together, and needs to be renewed every 3 months (i.e 1k every 3 months), do you think people will be putting their houses up for ridiculous prices, not selling for 6+ months?

Realistic pricing will be the result.

Good point - but not every part of the HIP is time sensitive - the searches are but they don't cost much. I don't think anything will stop people putting houses up for daft prices. A grand here or there on a HIP is nothing compared to what they think they will possibly be missing out on by pricing sensibly.

And, as I said in another reply, agents are going to throw them in as part of the service, so sellers will feel isolated from the costs.

There is no limit to people's greed - and stupidity.

Edited by Marina

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I'll have three pints of whatever you were on at lunchtime. What are you talking about. Anything that takes control out of Estate Agents hands????

How will HIPs affect house pricing?

Well… how many houses have you been shown around that needed

Extensive work done to them. Yet was priced similarly to property

That needed no work or repairs???????

If the answer is none (for you), then I can say I‘ve seen too many and

Wasted too much of my money surveying them!

just on tea only <_<

Additional: it is another nail in the EA’s coffin.

Edited by burnt before

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Guest rigsby II

If it costs 1k to put together, and needs to be renewed every 3 months (i.e 1k every 3 months), do you think people will be putting their houses up for ridiculous prices, not selling for 6+ months?

Realistic pricing will be the result.

If it's £1k + £1k every three months, which it won't be, but if it were, I predict a riot.

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If it's £1k + £1k every three months, which it won't be, but if it were, I predict a riot.

Personally I predict house prices rising by 1k per 3 months if this were the case. Lets face it, if vendors aren't going to be realistic about prices, they sure as hell ain't going to pick up the tab instead of the buyers when it shouldn't be their problem in the first place....? :angry:

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If it's £1k + £1k every three months, which it won't be, but if it were, I predict a riot.

I dont know jack about HIPS really but i wouldnt be suprised if there was a time limit on the pack, after all the condition of a house deteriorates. Every 3 months seems reasonable to have the pack re-established. If it is done to the same 'high standard' as the original then it should cost _about_ the same.

Riots? yea i see where ya comming from :lol: I think there will be a defered payment option whereby the seller pays for the HIP out of the sale money,of course there will be a markup premium on this service. The defered cost will then be put back on the buyer.

I think its a half decent idea (depending on implimentation) , if 3 or 4 people are interested in a house they all get surveys done which all say the same thing which is ~£500 down the drain for all the people except the eventual buyer. Atleast with HIPs the final buyer will be the only one paying for survey (absorbed into the final sale price).

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Guest rigsby II

I dont know jack about HIPS really but i wouldnt be suprised if there was a time limit on the pack, after all the condition of a house deteriorates. Every 3 months seems reasonable to have the pack re-established.

Like someone said, its only the searches that change with time, new planning applications you may need to know about etc, deterioration every 3 months is nonsense its too frequent.

However, I'm sure that will be easy to get around, just find a dodgy surveyor who will print another out and send it through the post sight unseen.

A bit like CORGI installers who will send you out a new gas certificate for a tenner, sight unseen.

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the packs may go out of date before a sale is actually made, leaving the seller open to more costs if they need to change the pack.

Sorry for the misunderstanding of my original post. It appears that you will only have to renew if the details change. I would have thought that some sort of time limit would be sensible though.

http://money.guardian.co.uk/property/movin...1355295,00.html

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Like someone said, its only the searches that change with time, new planning applications you may need to know about etc, deterioration every 3 months is nonsense its too frequent.

However, I'm sure that will be easy to get around, just find a dodgy surveyor who will print another out and send it through the post sight unseen.

A bit like CORGI installers who will send you out a new gas certificate for a tenner, sight unseen.

Must just be this council house that 'breaks' all the time :lol:

That being said though there has to be a time limit, 3 months, 6 months, 9 months? even a year? They must put a timeframe to it - well when i say _must_ what i really mean .. i would of thought it makes sense to put a timeframe on things.

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So, estate agent turns up and says: 'I'll put your house on the market for anything you say - because that's the kind of guy I am - and I'll get that nasty old HIP done for you - and you won't pay a penny until the deal is done (I might even just put my commission up 1/2% and do the HIP 'free'). But, if the house doesn't sell you are going to have to bung me £500 or so. What's that you say? You can't sell the house because there are no buyers? But maybe it's too expensive! Tell you what, let's drop the price and then you can sell and you won't have to pay for the HIP - eh? What do you think?

If you don't want to pay for the pack just insist of keeping the house at the same price but never be available during the weekend or evenings. Simple really.

I think your all going over the top, in the style that business types do. Its 200 quid. Why would you drop the cost of your house by 5000 for that. I think its a brilliant idea. The real reason I will be disliked is that the buyer will have an upfront set of issues to haggle with. And a lot of buyers just wouldn't put an offer in if they found that the service charges were 150 a month and there was expected to be major works in the next couple years.

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If you don't want to pay for the pack just insist of keeping the house at the same price but never be available during the weekend or evenings. Simple really.

I think your all going over the top, in the style that business types do. Its 200 quid. Why would you drop the cost of your house by 5000 for that. I think its a brilliant idea. The real reason I will be disliked is that the buyer will have an upfront set of issues to haggle with. And a lot of buyers just wouldn't put an offer in if they found that the service charges were 150 a month and there was expected to be major works in the next couple years.

For reasons that are not interesting, I know quite a lot about HIPs. They won't be £200. The big corporate agencies with the buying power (like their own surveyors) are talking about £500.

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The big corporate estate agents are planning to offer HIPs as part of the service - i.e. no up-front fee for the seller.

The NAEA and others have been up in arms about HIPs for a long time because there is a belief that this will put some smaller independent agents out of business.

Obviously as a seller you'll have to sign a contract that will say if you don't go ahead with the sale - you will pay for the HIP.

So, estate agent turns up and says: 'I'll put your house on the market for anything you say - because that's the kind of guy I am - and I'll get that nasty old HIP done for you - and you won't pay a penny until the deal is done (I might even just put my commission up 1/2% and do the HIP 'free'). But, if the house doesn't sell you are going to have to bung me £500 or so. What's that you say? You can't sell the house because there are no buyers? But maybe it's too expensive! Tell you what, let's drop the price and then you can sell and you won't have to pay for the HIP - eh? What do you think?

Vendor: 'I think you're having a laugh'

Whatever way you look at it, HIPs will be a laugh.

There is an article on Estate Agency News website about the president of the NAEA stamping his foot on this subject and threatening to pull out of talks!

Absolutely, the home condition report is one thing. Lenders will still insist on a valuation survey.

Actually, I think dogbox might be right. This could be the straw ...

this has been old news for ages......I agree it's totally nonsense.a buyer will want their own survey done....but for your average BTL flipper,this could amount to serious money,so I suspect they will wish to be rid before the deadline.

....now watch the headlines to see if this gets made public.....if it does,then the powers that be ARE trying to precipitate the slowdown!!!!!......good for us because WE TOLD YOU SO!

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  • 301 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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