Lord
Dixon-Smith has inquired whether, in the light of current housing
market conditions, the government will abandon the requirement to
provide home information packs (HIPs).
Government
spokeswoman for Communities and Local Government, Baroness Andrews,
denied that the current housing market conditions were as a result of
HIPs.
She suggested that problems were caused by the economic downturn and that HIPs had no effect on the number of house purchases.
The
minister was also asked if the government would review any inhibiting
factors in secondary legislation - highlighting the fact that HIPs was
secondary legislation.
Baroness Andrews argued that
abandoning HIPs would not help the housing market. She referred to a
recent survey carried out by an estate agent which indicated that out
of 16,000 transactions, purchases were completed on average six days
quicker.
But HIPs were criticised by peers for making
no difference to the housing market and only adding to the cost of
selling a house.
Baroness Andrews said HIPs
regulations required sellers to complete a property information
questionnaire which detailed information including energy efficiency
credentials.
She said HIPs were valid as long as they
stayed on the market and were even valid a year after they were
initially produced, even if the sale fell through.
Baroness
Andrews was encouraged to reduce extra burdens on homebuyers. It was
highlighted that if HIPs were more than three months old they were
rarely accepted by building societies or bank managers.
But
Baroness Andrews argued that HIPs needed to be seen and that estate
agents were not been making sure that buyers and sellers see the HIPS.
She highlighted that this practice would change as of April 6 when they
put their property on the market.
She also said that 2 million sellers had adopted energy performance certificates through HIPs.
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