Mortgage Industry News

← Back

HIPs can support hunt for cheap mortgage

Date: Tue, 22 Nov 2005

House Information Packs (HIPs) could mean more cheap mortgage deals are available to house buyers.

HIPs are to become mandatory in the industry from the middle of 2007, however, initial reports suggest that some buyers may be wary of the information provided sellers, even though it could make the whole house purchasing process cheaper and more efficient.

"This is a fundamental change in the way our housing market works and there needs to be a concerted effort to educate the consumer so they are well prepared," said Louse Cuming, head of mortgages at moneysupermarket.com.

"Getting buyers to trust the information in HIPs will be key. While some buyers may be worried about the impartiality of HIPs — where the seller will bear the cost - it is up to the government and mortgage industry to make sure that inspectors are fully qualified and maintain robust standards," she added.

It is hoped that the introduction of HIPs will prevent the number of uncompleted house purchases and therefore make the market more affordable for many wannabe homeowners.


© 1998-2005 DeHavilland Information Services plc. All rights reserved.

Endsleigh Insurance Services Limited is authorised and regulated by the Financial Services Authority. This can be checked on the FSA Register by visiting its web site at www.fsa.gov.uk/register.
Endsleigh Insurance Services Limited. Company No: 856706 registered in England at Shurdington Road, Cheltenham Spa, Gloucestershire GL51 4UE.