Hips reduce speculative marketing

Posted: 29 Jan 2008 11:36:24 GMT

The introduction of Home information packs (Hips) has reduced the number of people who speculatively put their properties on the market, according to AA Legal Services.

The introduction of Home information packs (Hips) has reduced the number of people who speculatively put their properties on the market, according to AA Legal Services.

James Molloy from the firm believes that buyers are benefiting from Hips because sales are now less likely to fall through at the last minute.

In the past, some homeowners would put their property on the market merely to see how much value it had gained.

However, now that all properties in England and Wales need a Hip before being sold and the seller is responsible for paying for it, the practice is less common.

"Hips naturally focus the mind of the seller before marketing their property. We hope that now only those who have a genuine, considered desire to sell their property enter the market at the front end, and Hips have undoubtedly reduced speculative marketing," said Mr Molloy, the firm's product manager.

"My view is that where we see a reduction in broken chains, a large contributing factor is the introduction of Hips," he concluded.

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