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Are HIPs compulsory for all types of sales? |
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The vast majority of sellers will need to have a HIP
prepared.
However, there are a few exceptions such as:
- Private sales (e.g. to members of the family,
neighbours or
friends where the property is not offered for sale to the
general public)
- Tenanted sales where the property is not offered
with vacant
possession.
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I put my house on the market before HIPs were
introduced. Do I need to have a HIP prepared? |
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If you put your
4-bed (or bigger) property on the market before 1st
August 2007, or 3-bed from 10th September 2007 and
for everything else from 14th December 2007, you
will not need to have a HIP prepared until the
government announces that they are compulsory in
these circumstances. |
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What is an Energy Performance Certificate? How do I get
one? |
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An Energy Performance Certificate is a report
that tells you how energy efficient your house is.
Clearly it costs more to heat some houses of the same
size and type than others and this can be for a variety
of reasons. Your house may, for example, have better
loft insulation and draught proofing than your
neighbour’s because you have invested more to make it
energy efficient. The government is committed to
comply with EU Directive 2002/91/EC which aims to
promote improvements in the energy performance of
buildings. Domestic energy consumption causes 25% of
national CO2 emissions, and heating uses 90% of energy
in the home. Improvements in the energy efficiency of
our homes are important in reducing our overall
emissions.
Energy Performance Certificates detail the
costs of heating, hot water and lighting in homes and
give practical advice on how to cut these costs and
reduce emissions.
An Energy Performance Certificate is obtained
by having a qualified Energy Assessor (a new type of
surveyor) inspect your home.
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What does it cost to obtain an Energy Performance
Certificate and what are the benefits? |
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We estimate that Energy Performance Certificates
will cost between £100 and £200 depending
on the size and type of the property being inspected.
MovingAhead will be pleased to provide you with a
quote on request. The Energy Savings Trust estimates
that by following the proposals in the Energy
Performance Certificate, the average homeowner could
save £300 a year on fuel bills. |
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What is a Home Condition Report? |
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It’s a new type of ‘mid range’ survey similar to the
current ‘Homebuyers' Survey and Valuation Report’ but
without the valuation. It should classify all the main
elements of the property (roof, walls, foundations etc.)
as follows:
- 1 - Good condition
- 2 - In need of repair
- 3 - Seriously defective
As a result, the findings of this new type of survey
should be clear, concise and easy to understand. |
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Should I include a Home Condition Report in my HIP even
though it’s not a requirement? |
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We think so, yes. Having a Home Condition Report
done at the start will help to reduce the chances of
a buyer pulling out later on after the conveyancing is
under way. By that time any other interested buyers may
have drifted away and lost interest which means that you
would be back to square one.
Opting to include a Home Condition Report in
your HIP will give you a competitive advantage and
make your property stand out. It could also dramatically
speed up the sale of your home and minimise delays. |
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Can
Home Condition Reports be trusted as they are provided
by the seller? |
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Yes, as the reports will be truly independent, Home
Condition Reports can be legally relied on by the buyer.
Only Inspectors regulated by the Government will be able
to prepare Home Condition Reports and schemes
have been put in place to guarantee that their
performance is monitored and that their work is of the
required standard. Inspectors will also need to have
suitable insurance. |
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What will it cost to have a Home Condition Report
prepared? |
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We estimate that Home Condition Reports will cost
between £500 and £1,000 depending on the
size and type of the property being inspected.
MovingAhead will be pleased to quote you on request. |
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Do Home Conditions Reports include
valuations? |
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No. It is now generally accepted that valuations vary
according to personal opinion and experience and can
change very quickly. In most cases estate agents should
have a better knowledge of the local area and market
than surveyors and be in the best position to advise
sellers on value. |
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Will Home Condition Reports become out of date and have
to be redone and paid for again? |
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No - there will be no requirement for sellers to renew
Home Condition Reports. Surveys only provide a
“snapshot” of the condition of properties at the time
they are inspected. As the Home Condition Report
will not contain a valuation it should remain valid
indefinitely. |
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