What's In A Hip

A HIP is divided into two parts. There are "Required Documents" and "Authorised Documents".

If a document is neither a Required Document nor an Authorised Document then it cannot be placed in a HIP.

Required Documents

This too is divided into two parts. Firstly, documents that have to be in place prior to the first point of marketing and secondly, documents that have to be in place within 28 days from first point of marketing, save in exceptional circumstances.

The documents that are required to be in place before first place of marketing are as follows:

Number	Required Documents	Notes
1.	Index	There is a complicated Index and under the legislation the full Index has to be provided even if the documents are not required and will never form part of the HIP.
2.	Sale Statement	This is a simple form providing very brief details of the property and confirming the nature of the seller's interest in the property.
3.	Copy of the Registered Title	An official copy of the Title Information Document has to form part of the pack. This is the basis of any registered legal title and will provide a brief description of the property and the name of any mortgagee. It will also include details of any covenants that affect the property and any rights benefiting the property. It is frequently the case that other documents are referred to within this document. They are not Required Documents and can be produced as Authorised Documents.
4.	Official Land Registry Plan	This is a Required Document.
5.	Energy Performance Certificate	This is a Required Document.

The above documents constitute the Required Documents that need to be in the pack for the first point of marketing. In the event that the property is not registered at the Land Registry then the Required Document will be the unregistered deeds which constitute the root of title in place of the registered title.

The Required Documents that have to be requested and to be in the pack within 28 days from first point of marketing save in exceptional circumstances are as follows:

Number	Required Documents	Notes
1.	Local Authority Search	This is a search with the local authority. This is usually carried out direct with the local authority but private companies have now been providing local searches for many years and the Government has now indicated that it is acceptable for a private search, backed by insurance, to be provided. Legal Hip together with all major HIP providers will be providing personal searches.
2.	Drainage and Water Search	As with local authority searches we are now conducting this search through a private provider.
3.	Official copy of the Lease	Leasehold Property Only This does need to be a copy of the original lease duly dated. It is not sufficient to provide any other copy. We will be obtaining a copy from the Land Registry unless we hear from the seller when the pack is initially ordered that they have a true official copy and again we will use that copy and upload it onto the HIP.
4.	Management & Service Charge Information	Leasehold Property Only The required information for a leasehold property is as follows: Any regulations or rules relating to the management of the property. Statements of account for service charge or summaries of service charge which relate to the past three years. The most recent request for payment made by or on behalf of the landlord in relation to service charges and ground rent and also insurance and other charges relating to the use of the property. The name and address of the current landlord, the managing agents and any other persons who manage or are likely to manage the property. Any amendments proposed to the lease or regulations or rules relating to the management of the property. Details of any notices served by the landlord or the managing agents in respect of works to be carried out in the future.

Authorised Pack Documents

In addition to Required Documents there are a large number of document which a seller can add to the HIP if they wish to do so. These would include the following:

Number	Required Documents	Notes
1.	Home Condition Report	This is the full survey that the Government was intending to make compulsory until July 2006 when it changed from a Required to an Authorised Document.
2.	Any copies of the following:	Guarantees relating to the property Copies of planning permissions or building regulation consents Official copies of any other title documents at the Land Registry A large number of additional searches
3.	Legal Summary	This is a legal summary of the property. Legal Hip's view of summaries is that in order to prepare a realistic Legal Summary we would need to require one of our Property Lawyers to consider the matter and prepare a proper report. This would have a considerable effect upon the price of the HIP and at this stage we do not propose to undertake this work. Unless done properly it is the view of Legal Hip that a Legal Summary is of little interest.