New legislation came into force with effect from Monday last week regarding Home Information Packs (HIPS). Every property must now have a HIP available on the first day it is marketed for sale. The seller has to provide a copy of the pack free of charge; however, a ‘reasonable’ charge may be made to cover the costs of copying and posting it!
A National Association of Estate Agents survey has reported that HIP’s are stopping people from putting their property up for sale. The survey found that 65% believe that the new arrangements will actually discourage sellers and this will further damage the property market. The NAEA has called for HIP’s to be scrapped during the recession, and for the Government to re-examine their viability once the economy begins to grow again. If you need a HIP, make sure you shop around as prices vary dramatically and you can purchase them from many sources (including our website!).
The Council of Mortgage Lenders are anticipating some 75,000 repossessions in the UK during 2009. In the US there were over 290,000 in February alone! It is even more interesting when you look at these numbers in terms of households. In the UK it equates to one repossession for every 155 outstanding mortgages whereas in the US it is one for every 27!
We’re hearing various commentaries that house prices are showing signs of stabilising. Some local Estate Agents have confirmed that properties are selling well, but not many new properties are coming onto the market. With demand exceeding supply, this will inevitably stabilise prices. Even the experts cannot agree with the Halifax reporting that house prices dropped by 1.9% and Nationwide reporting a 0.9% rise, both in March!
If the signs are to be believed, this is positive news and lenders appetites for lending should increase. At the same time buyers, who have largely stayed out of the market, will quickly return.
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