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Information pack rethink urged

The plunging housing market is being made worse by Home Information Packs (Hips) that are not fit for purpose, says the National Association of Estate Agents.

It says that the requirement for the packs to include local searches was "madness", as due to the length of time properties are taking to sell, most searches are out of date by the time a transaction takes place.

Hips were introduced last year in a bid to speed up the home buying process by providing more of the information that buyers needed upfront.

But the association says the packs are the wrong answer to simplifying the house buying process, and has called on the Government to urgently review them.

Chief executive Peter Bolton King said: "Quite simply, the Government tried to force square pegs into round holes and the slower property market is making this situation worse."

He said a simplified pack could include a sellers' questionnaire, an improved Energy Performance Certificate and the Land Registry title and plan. He claimed that this was the only information that was helpful to consumers and the industry as a whole.

The Royal Institution of Chartered Surveyors has also called on the Government to reform the packs. Gillian Charlesworth, director of external affairs, said: "One of the many things the Government needs to do to aid the failing housing market is to fundamentally reform Hips to ensure that they are fit for purpose for all properties, in all market conditions."

A Communities and Local Government spokesman said: "Hips are already bringing benefits to consumers by providing important information to help families cut their fuel bills and carbon emissions, and have reduced the price of property searches by increasing transparency in the home-buying and selling process.

"First-time buyers are also receiving the information in the Hip for free, helping to reduce costs for households looking to get on to the property ladder.

"We are continuing to work with stakeholders, including the NAEA, to consider how the home buying and selling process can be improved further, including through enhancing the Hip."

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