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New Labour Destroys Housing Market With Hips

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Home information packs have been slammed as the "worst piece of consumer legislation in 50 years".

HIPs were promoted by the Government with claims they provide key information to home buyers and so speed up purchases.

But a report from the consumer group Which? today suggests they are of little value, confusing and do not have the confidence of the public or estate agents.

The findings echo a Government MORI poll which found 41 per cent of buyers thought the new packs actually make purchasing a new home more difficult

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HIPS are indeed useless, but to blame their introduction for the destruction of the housing market is, to put not too fine a point on it, boll0cks.

Edited by redalert

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HIPs are just a 200 quid irrelevance.

Alternatively, if your name is Kirsty Allsop, they are the work of Satan and are single-handedly responsible for the Northern Rock crisis, childhood poverty, climate change and players' loss of respect for Premiership referees.

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HIPs are just a 200 quid irrelevance.

Alternatively, if your name is Kirsty Allsop, they are the work of Satan and are single-handedly responsible for the Northern Rock crisis, childhood poverty, climate change and players' loss of respect for Premiership referees.

You dont need a hip to sell your property ;) . you only need one if you sell it via a EA ;)

Edited by crash2006

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HIPS are indeed useless, but to blame their introduction for the destruction of the housing market is, to put not too fine a point on it, boll0cks.

Quite. It's just a convenient and easy to understand excuse, rather like abolishing joint MIRAS was in the 1989 crash. Assuming prices do now start to fall properly, it'll be down to lack of available lending, not HIPS which as so cheap compared to all the other costs of moving house as to be irrelevant.

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Quite. It's just a convenient and easy to understand excuse, rather like abolishing joint MIRAS was in the 1989 crash. Assuming prices do now start to fall properly, it'll be down to lack of available lending, not HIPS which as so cheap compared to all the other costs of moving house as to be irrelevant.

Exactly. The cost of a HIP is equivalent to the Sky Sports package for 6 months.

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The EPC's really annoy me.

Its blatantly obvious that most of the UK's housing stock will get a very low score. This is because we are not allowed to build houses that make use of the inbuilt efficiency of modern architecture.

I nearly bought a converted barn. It would have scored at the bottom of the EPC's but it had insulation, etc. etc. But basically because it was a stone structure built to store straw or house cows it will never be able to reach A or B in terms of energy efficiency. If the planners allowed old agricultural rubbish like this to be demolished and replaced with 21st century technology then higher ratings would be possible.

These certs only tell us what is obvious, old houses will always be poor in terms of energy efficiency.

Either keep them and love em for what they are (antiques that are just about survivable with a nice big open fire full of logs) or lets tear them down and put up something efficient.

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HIPs are just a 200 quid irrelevance.

Alternatively, if your name is Kirsty Allsop, they are the work of Satan and are single-handedly responsible for the Northern Rock crisis, childhood poverty, climate change and players' loss of respect for Premiership referees.

I am sure there is a certain newspaper who are probably desperate to pin the Diana conspiracy and the disappearence of Maddie on them too.

Evil little things that they are - who would ever have thought something costing just a few hundred quid could have such an effect on the economy..... :blink:

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You do not need a Home Information Pack for:

  • Properties where there is no marketing (e.g. sale to member of your family)
  • Non-residential properties
  • Seasonal and holiday accommodation
  • Mixed sales (e.g. shop with flat)
  • Right to buy and similar sales
  • Sales of portfolios of properties
  • Properties not being sold with completely vacant possession
  • Unsafe properties and properties to be demolished.
  • Properties already on the market when the duty to have a Pack arises (1 August for sales of homes with 4 bedrooms or more, and 10 September for sales of homes with 3 bedrooms or more)
  • New homes built under Part L of the Building Regulations 2006 (these will be brought in by a separate commencement order in due course)

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HIPs are a pain in the **** bascially. Not all lenders will accept the cheap searches they enclose. Of course we get cheap searches, why get our clients to pay more? So it doesnt speed anything up really.

As for the estate agents, it gives them more power. Most solicitors do the HIPs for the cost of the disbursements or for a small extra fee. Its just that the clients see the agents first and the agent advises them who to use for the HIP.

EPCs are crap, no one reads them, no one cares. HIPs have not improved anything at all, or speeded up anything, in fact just the opposite.

Also now when houses are taking longer to sell clients are going to find that they will need to pay to get the HIP updated.

Out of interest a residential EPC lasts (I think!) a year whereas a commercial one lasts five. Europe requires the EPC but allows for it to last five years. It is our government screwing the sellers again this time.

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HIPs are just a 200 quid irrelevance.

Alternatively, if your name is Kirsty Allsop, they are the work of Satan and are single-handedly responsible for the Northern Rock crisis, childhood poverty, climate change and players' loss of respect for Premiership referees.

Exactly. The whole debate is no more sensible than claiming the only reason you haven't rushed out and bought a brand new Bentley is the cost of footwell mats.

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Hips are a brilliant idea, badly executed. House buying in the UK is a 'confusopoly' - namely it is in the interests of estate agents to have the general public as confused as possible so that they can be bamboozled into using their questionable services and may even accept a sub-standard deal. How else could otherwise intelligent individuals entrust the most important financial decision of their life to a gel-haired spiv in a Mini.

The AIM of hips is to bring a bit of clarity and transparency to the process. It has been vehmently opposed at every step of the way by the estate agents. Reform of other confusopolies, such as the law or pensions have been met with similar opposition from VI middlemen. As has been pointed out many times on this forum, what's £200 on a deal worth £200,000. No one seems to bat an eyelid at handing over thousands of pounds to the likes of Foxtons for what is a glorified introduction service.

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Nu-Labour have destroyed the housing market by creating an economic situation which has prompted house prices to rise to a point where prospective owner occupiers can't afford the type of house that's in line with their position in society. HIPS have existed for a while in Scotland and they haven't done any harm there. Getting rid of HIPS won't change the fact that prices are out of line with wages for OOers and that there isn't sufficient cheap credit left for BTLers to buy what OOers can't afford. Blaming HIPS strikes me as yet another VI attempt to avoid the real issue.

Getting rid of HIPS will no sooner save the housing market than abolishing 1% stamp duty when people really need 50% slashed from prices to be able to afford to buy.

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Hips are a brilliant idea, badly executed. House buying in the UK is a 'confusopoly' - namely it is in the interests of estate agents to have the general public as confused as possible so that they can be bamboozled into using their questionable services and may even accept a sub-standard deal. How else could otherwise intelligent individuals entrust the most important financial decision of their life to a gel-haired spiv in a Mini.

The AIM of hips is to bring a bit of clarity and transparency to the process. It has been vehmently opposed at every step of the way by the estate agents. Reform of other confusopolies, such as the law or pensions have been met with similar opposition from VI middlemen. As has been pointed out many times on this forum, what's £200 on a deal worth £200,000. No one seems to bat an eyelid at handing over thousands of pounds to the likes of Foxtons for what is a glorified introduction service.

Agreed - nothing wrong with the concept of them, but spectacularly badly implemented to the point that they are worthless. The timing of their introduction, right at the top of the market is hysterical. Just as the market is collapsing with a heart attack, labour is kicking it in the goolies.

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...to a point where prospective owner occupiers can't afford the type of house that's in line with their position in society.

Because everyone must have their correct station in life yes ;) .

I disagree anyway, most EAs can well afford an outside toilet or a medium-sized garden shed...

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Hips are a brilliant idea, badly executed. House buying in the UK is a 'confusopoly' - namely it is in the interests of estate agents to have the general public as confused as possible so that they can be bamboozled into using their questionable services and may even accept a sub-standard deal. How else could otherwise intelligent individuals entrust the most important financial decision of their life to a gel-haired spiv in a Mini.

The AIM of hips is to bring a bit of clarity and transparency to the process. It has been vehmently opposed at every step of the way by the estate agents. Reform of other confusopolies, such as the law or pensions have been met with similar opposition from VI middlemen. As has been pointed out many times on this forum, what's £200 on a deal worth £200,000. No one seems to bat an eyelid at handing over thousands of pounds to the likes of Foxtons for what is a glorified introduction service.

The only thing that would have been good in a HIP would have been a proper survey. But that is the one thing they ended up leaving out.

The EPC assessors are trained monkeys. They downgrade you for not having low energy lightbulbs! As if you are going to choose to buy or not buy a house because of the existing lightbulbs. Or loft insulation. If you buy a house, and want to save money on your bills, you sort stuff like this yourself.

As they are, they are just another costly pointless piece of Nu-Labour legislation. They create more non-jobs for "inspectors" so help to keep unemployment down.

But they are not responsible for the housing market crashing.

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The "only" thing I can see that a HIPS actually "might" do is stop speculative testing of the market where a seller is uncertain whether they want to move, or just wants to know what people are willing to offer. However, I don't know the whys and wherefores of doing this anyway then removing the property from the market before you are forced to do a hip, I guess you could leave it until after people have offered or...

Also, surely diligent EA's are going to insist on the HIP being done? Who's imperative is it to do the HIP? I.e could a seller just not do it, say to the ea "i'm not doing it" and then see what happens? What is the process by which you are found out????

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The "only" thing I can see that a HIPS actually "might" do is stop speculative testing of the market where a seller is uncertain whether they want to move, or just wants to know what people are willing to offer. However, I don't know the whys and wherefores of doing this anyway then removing the property from the market before you are forced to do a hip, I guess you could leave it until after people have offered or...

Also, surely diligent EA's are going to insist on the HIP being done? Who's imperative is it to do the HIP? I.e could a seller just not do it, say to the ea "i'm not doing it" and then see what happens? What is the process by which you are found out????

If an estate agent markets a new instruction without a Home Information Pack at least being on the way they are liable for a hefty fine.

Edit

The way they are found out would be for a prospective buyer or their solicitor to report it. Not sure who you would report it too though

Edited by The Conveyancer

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If an estate agent markets a new instruction without a Home Information Pack at least being on the way they are liable for a hefty fine.

After May.

And then does it only have to be seen before completion?

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  • 292 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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