With the introduction of HIPs scheduled for June 2007, AMI has taken steps to update its November HIPs factsheet, following the government’s decision to make Home Condition Reports (HCR) a voluntary part of the pack.
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 the packs have been shelved in their entirety. This is not the case. The decision to make the HCR an authorised rather than required document in the information pack does not alter the need for mortgage intermediaries to fully engage with the introduction of the HIPs initiative.”
Griffiths added: “It is important that mortgage intermediaries continue to be informed about the possible impact HIPs could have on their businesses.”
The AMI factsheet includes the background to HIPs, the regulation of HIPs and the costs involved. It also covers the testing and trials of HIPs in addition to the certification schemes.
Peter O’Donovan, mortgage manager at Bestinvest, welcomed the HIPs factsheet, despite reservations about the proposed launch of the packs. He said: “It certainly looks like HIPs are going to fall by the wayside, but it is good that AMI is keeping intermediaries updated to any changes that are being made. At the moment the information packs look like a waste of time but the government won’t want to be defeated, and may well launch something else. Until someone says HIPs are not going to happen, we, as brokers, need to be aware of what is going on with them.”
