Government denies £1,000 price tag

The government has denied claims that people selling houses will be forced to spend up to £1,000 on the soon to be introduced Home Information Packs (Hips).

Government officials said the Home Information Packs (Hips), which requires sellers to provide a condition report will only cost around £650 on average.

Ownership proof and local authority search results will also be required.

The Government says the packs will reduce the £1m wasted daily when sales fall through.
It said that the overall total costs involved for people buying and selling a home would remain the same, but that some costs would switch from buyers to sellers.

The requirement to have a Home Information Pack will not come into force until June 2007.
Launching the public consultation, Housing Minister Yvette Cooper said: "Buying a home is stressful enough without losing hundreds of pounds on legal fees or valuations for properties that then fall through…Home Information Packs will actually save money and cut waste in buying and selling homes."

But the Conservatives claim many mortgage companies would demand their own assessments anyway, and that buyers may want to order their own Valuation or survey report.

The Office of the Deputy Prime Minister said the £650 cost would be made up of a home condition report costing around £350 and other costs associated with proving ownership and obtaining local authority searches.