NEW legislation is coming into force which will involve sellers more than ever before in the sale of their house.
After June 1, 2007, it will be illegal to sell a house without a Home Information Pack.
The pack, costing up to £1,000, will be the responsibility of the seller and will effectively knock that amount off the eventual sale price of the propoerty.
"However, there is much confusion and misinformation on this legislation, both among property professionals and the general public," said Worcester estate agent Cameron H Clarke, who is a founder board member of the newly-formed National Asso-ciation of Licensed Home Inspectors. "The HIP has basically two elements.
"The first is the legal documentation, including local authority searches, seller's property information form, list of fixtures and fittings, and other information that would currently be collated by either the seller's or buyer's conveyancer.
"The second part is a Home Condition Report (HCR) including an energy performance certificate. An HCR is considered equivalent to the 'middle range' or RICS Homebuyer's Survey and Valuation report that a buyer would currently commission.
"It is much more detailed than just a lender's valuation, which often people mistake for a survey."
However, Mr Clarke stressed there are a number of differences.
"In the HCR there is no opinion of the open market valuation, but there is a buildings insurance assessment," he added.
"And there is an Energy Performance Certificate which assesses how cost-effective your property is together with advice on how to reduce running costs and improve comfort."
An HCR cannot be carried out by anyone other than a licensed home inspector.
This is a new profession and separate from chartered surveyors although many home inspectors will also be experienced chartered surveyors, who will have to undergo extensive re-training and then take a final exam.
"The cost of a HIP will be similar to what you would pay if you were selling your property and having a survey on the house you were buying," Mr Clarke added.
"Legal costs of £350-£500 and a HSV fee of £350-£500 will be made for a standard three-bedroom semi detached or a small detached. So the total costs will be about £700 to £1,000 plus VAT.
"The difference is the seller will be responsible for the whole cost either upfront or deferred and included within the estate agents account on completion of the sale."
on completion of the sale."
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