When Do You Need a Home Information Pack?
Hopefully everyone now knows that before you put your property up for sale, you must make sure that a
Home Information Pack has been ordered and payment arrangements made.
What is less well know is that not all residential properties require a
home sale pack before marketing can begin.
The general rule is that all dwelling houses (including flats) that would or could be used, as a permanent residential dwelling by the owner without adaptation, must have a HIP ordered before the property can be put on the market.
However, there are a number of important exceptions where houses can be marketed without a HIP and that’s what we’ll take a look at today.
1. Properties on the market before the commencement date.
Dispensation for a HIP applies to all properties put on and remaining on the market before the HIP provisions came into force for a particular category of property; 1st Aug 2007 for four or more bedroom dwellings / 10th Sept 2007 for three or more bedroom dwellings / 14th Dec for one or two bedroom dwellings.
2. Properties with sitting tenants.
A HiP will not be required when a property is to be sold as an investment with the benefit of a sitting tenant. However, it is not possible to avoid the need for a HIP on the grounds that the property has a tenant at the time of marketing but that tenant will move out of the property before the sale completes. If the property is being sold with vacant possession then a HIP will still be needed before marketing commences.
3. Caravans, mobile homes and houseboats.
Notwithstanding that static caravans, mobile homes and houseboats are often regarded by their owners as residential property, no HIP will be required on these particular properties. This is because the law does not consider them to be “dwelling houses” as they are not permanent fixed structures.
4. Seasonal and holiday accommodation
Provided the planning laws restrict the use of the property to seasonal or holiday accommodation, a HIP will not be required for a sale to proceed.
5. Mixed sales and dwellings with a dual use.
A HIP is not required when a residential property is for sale in tandem with non-residential premises. So, by way of example, a shop with a flat above it will not require a HIP, provided that both are to be sold together. However for this exemption to apply, any marketing material must make it clear that the residential and non-residential premises are to be sold together, this exception will also apply to a property that has a dual use such as a guesthouse with living accommodation.
6. Property portfolios
No HIP is required there a portfolio of residential properties are to be marketed and sold together.
7. Properties due to be demolished or deemed to be unsafe.
If a residential property is unsafe and the particulars state this to be the case, then a HIP is not required. In addition, if a property is to be demolished and planning permission exists to do so, then again, no HIP is required before the property is put on the market.