Tuesday, 6 March 2007Six in ten blissfully ignorant of drastic changes to housing market
New research published today shows most people are totally ignorant of the biggest ever shake-up of the property market, which is only one year away.
Sixty-four per cent of people questioned by ICM have never heard of the term ’home information pack’ (HIP). Only one in three people who are aware of HIPs realises that the packs will contain important legal documents – including title documents and local searches.
Trustworthiness was the most important factor in choosing a HIP provider. Fifty-seven per cent of respondents said they would be most likely to trust a solicitor to prepare the pack, and 70 per cent said they would rely on their solicitor to interpret the information contained in the HIP.
Anyone marketing their property for sale after 1 June 2007 faces a fine of £200 per day if they do not provide potential buyers with a HIP. Sellers must pay the cost of producing HIPs, which could range from £600 to £3,000, depending on the size of the property.
Commenting on the results, Kevin Martin, Law Society president, says:
”This survey also shows that few people realise that packs will contain important legal documents. The danger is the public may be vulnerable if they obtain a pack from a HIP provider that is uninsured, unregulated and not legally trained. Solicitors are insured, undergo rigorous training and education, and are the only provider to be regulated by a national body, should anything go wrong.”
”The results show a huge lack of public awareness, and with only 12 months to go there is real cause for concern. A huge campaign is needed to educate homeowners about this massive overhaul to the home-buying process. There’s a real risk that people will find themselves breaking the law if they market their property without the correct information.” “It is important that consumers can interpret the legal documents in the packs. From the outset, buyers and sellers must get good quality and independent legal advice from their solicitor.”
To bridge the information gap, the Law Society has launched the essential HIPs Q&A Document for consumers.
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Notes to editors
ICM Research interviewed a random sample of 1,001 adults aged 18-plus by telephone between 19 May 2006 and 21 May 2006. Interviews were conducted across the country, and the results have been weighted to the profile of all adults. ICM is a member of the British Polling Council and abides by its rules. Further information is at www.icmresearch.co.uk.www.lawsociety.org.uk/pressreleases |