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Exceptions are intended to ensure that sales that are not part of the ‘standard’ housing market are unaffected by the need for a HIP, although some apply specifically to properties which were already on the market when the HIP requirement commenced. There is also a temporary exemption from the requirement to have a pack in place before marketing begins but only where the required documents have been requested. Due to this temporary exemption we are able to provide you with a receipt of payment that allows you to start marketing your property straight away. Your pack will then be provided by us within the required 28 days (however in practice most of our packs are completed with 2 weeks).

Exemptions

Properties marketed before the commencement dates:

There is special provision for excluding properties marketed before HIP duties came into force for a particular category of property:

1 Aug 2007 — sales of homes with four or more bedrooms.

10 Sep 2007 — sales of homes with three or more bedrooms.

14 Dec 2007 — sales of homes with one or two bedrooms.

Properties put on the market before the commencement dates will not need to produce a HIP, they do however require an Energy Performance Certificate. A date may be set when all properties that remain on the market will be required to have a full HIP.

Residential properties not available for sale with vacant possession:

Under section 160(1) of the Housing Act the HIP duties "do not apply in relation to a residential property at any time when it is not available for sale with vacant possession". Under subsection (2), a property shall be presumed to be available with vacant possession if it is actually available with vacant possession "unless the contrary appears from the manner in which the property is being marketed". If a property is being marketed with a sitting tenant - so that the property will be sold with the tenant in place - HIP duties would not apply. If, however, the marketing was on the basis that the tenancy will be terminated and the buyer given vacant possession by the time the sale is completed, then the HIP duties would apply.

Seasonal and holiday accommodation:

There is no requirement to provide a HIP where there is a planning restriction which either limits the occupancy of the property to 11 months or less in a 12 month period, or limits the use of the property to holiday accommodation.

Mixed sales:

The duty to have a HIP does not apply to a ‘mixed sale’. This applies where a residential property is marketed for sale as ‘ancillary’ to (i.e. is intended to be occupied and enjoyed with) one or more other buildings or areas of land used for non-residential purposes. Examples of mixed sales include a farm house sold with agricultural land and buildings, or a property consisting of a shop on one floor and a flat above it. The exception for a mixed sale only applies if at the time of first marketing, the marketing material makes it clear to potential buyers that the seller only intends to accept an offer for the property as one lot.

Dual use of a dwelling/house:

The HIP duties do not apply to properties that have a ‘dual use’ and can be used for both residential and non-residential purposes simultaneously. An example of dual use would be a house that has been divided and where one part is used as a dentist’s surgery and the other part serves as the dentist’s home.

Portfolios of properties:

Duties do not apply where one or more residential properties are marketed for sale together if the seller does not intend to accept a sale in isolation from the others, and it is clear from marketing materials that offers will only be accepted for the complete portfolio.

Unsafe properties:

A HIP is not required when marketing an unoccupied property that is unsafe, posing a serious risk to the health and safety of potential occupants and visitors, and this is made clear in the marketing material.

Properties due to be demolished:

A HIP is not required when marketing a property intended for demolition and redevelopment. This applies where the relevant planning permission has been obtained.

Park homes:

Park homes are not treated as ‘dwelling houses’ under the terms of housing legislation and therefore fall outside the scope of the HIP regulations.

For a no obligation quote with no hidden extras please contact our Liverpool office on 0151 734 0900, This e-mail address is being protected from spambots, you need JavaScript enabled to view it or complete a contact form here.