It has been prepared as a briefing on the recent developments on the schedule, contents and delivery of the government’s HIP initiative.
The factsheet is a follow-up to AMI’s November 2005 factsheet and its purpose is to provide members with clear information on the recent changes announced by the government, how this affects the delivery of HIPs and areas for members to consider as they develop and implement their own plans for HIPs within their businesses.
The factsheet covers the following:
The background to HIPs.
HIP regulations including principal duty, contents, required/authorised/prohibited documents, exceptions, the transitional period and penalty charges.
Certification Schemes and Inspectors including information on Home and Energy Inspectors.
Testing/dry-run/trials of HIPs.
Cost.
Industry reaction.
Intermediary engagement.
Other resources.
Rob Griffiths, associate-director of AMI, commented: “There has been a large amount of media coverage on recent announcements regarding the implementation, content and cost of HIPs with some reports even suggesting that the packs have been shelved in their entirety. This is not the case. The decision to make the Home Condition Report an authorised rather than a required document in the pack does not alter the need for intermediaries to fully engage with the introduction of HIPs.
“It is important that mortgage intermediaries continue to be informed about the possible impact HIPs could have on their businesses. AMI has produced this factsheet to give members a clear understanding of the current state of play and to remind them their clients will still be required to have a HIP in place when they market their property from 1 June next year. Clients will be looking to intermediaries for information and guidance.
“AMI will continue to explore the impact of HIPs through our regular Working Group and offer further guidance and information to members. All our regional conferences offer presentations on HIPs and their possible impact on mortgage intermediaries. Members can receive further information by visiting the AMI website.”
