A recent survey has found that 43% of UK homebuyers believe home information packs (HIPs) should be made mandatory.
This comes as the property industry continues to grapple with transaction fall-through rates of over 30% and average times from offer to completion stretching to 150 days.
The study, conducted by digital home information pack provider Moverly, revealed that although only 50% of recent homebuyers had heard of HIPs, 69% felt that having one would have simplified their property purchasing process.
HIPs, initially introduced by the Housing Act 2004 and later scrapped in 2010, contain vital information and documents for the buyer, such as the Energy Performance Certificate (EPC), title documents, and local authority searches. Digital versions of these packs have begun to gain popularity recently, addressing many issues associated with the original initiative.
The re-introduction of mandatory digital HIPs, which are believed to significantly reduce completion times and the likelihood of sales collapsing, could soon be part of Government plans.
According to Moverly’s survey, 44% of homebuyers experienced difficulties during their last home purchase, with common issues including securing a mortgage, finding the right property, and dealing with seller and chain delays or collapses.
Of those surveyed, 74% believe that HIPs are useful as they provide valuable information to buyers. Half of the respondents went as far as saying that they would be more likely to purchase a property if the seller had a pre-prepared HIP.
Ed Molyneux, co-founder of Moverly, commented on the findings: “The property industry has come a long way since the first home information packs were introduced and then scrapped. The ability to compile and share information digitally has made it far easier to create a worthwhile HIP that can add real value to the transaction process.”
He added: “For buyers, the property purchasing process can be daunting. Reintroducing home information packs will help dramatically reduce the time, effort and anxiety of purchasing a home. So it’s hardly surprising that so many believe they are not only helpful, but should be a mandatory requirement.”
