HIPs ‘should come from legal professionals’

Malcolm York, sales and marketing director at ConveyanceLink, said that considering the pack was a legal document, no one had considered who would be providing the pack and the potential security issues involved. He said that the pack needed to be channelled through lawyers who undertake the searches required every week and have a legal duty of care to the client and lender.

York said: “I believe there are a lot of unskilled people doing things inaccurately. It’s ultimately a legal document being produced by estate agents. Most lawyers we talk to have said they will not accept HIP searches and will recommend a client does their own, meaning they will pay twice for searches. The only winners are the search providers. It’s deeply concerning.

Most people are reporting this from an insular perspective – no one’s looking at the consumer. The majority of law firms are more competent than HIP providers; they are not concerned with making money on it, as they get conveyancing fees. The lawyer will explain why they’ve done what they have because they legally have to; a HIP provider doesn’t.”

However, Mike Ockenham, director-general of AHIPP, said: “There are plenty of HIP providers that are very capable of bringing together all the searches. Provided those providers are subscribers to the HIP code of practice, have professional indemnity insurance of a minimum of £2 million and support systems, consumers can be secure in sourcing HIPs from them. Consumers are extremely well protected by the code.”

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