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Without a houseseller’s pack no residential property will be able to be sold from June next year. Training of the planned 7,000-strong inspectorate started last year but so far, The Times has established, only 196 people have been approved for the task.
Housing industry experts now say there could be a year of panic selling to avoid the extra costs that will be incurred with the pack. They say that this is then likely to be followed by a stagnant market, because there will be a waiting list for the packs to be prepared by an inspector.
A pack for a two-bedroom flat in London is estimated to cost £600 to £800, plus VAT, while owners of larger houses will have to pay more. Only Asda’s new property service has promised to compile free packs for housesellers. The aim of the pack is to make selling easier, but most vendors will end up paying more because the Council of Mortgage Lenders has made clear that its members still expect full structural surveys on new homes and, in most cases, will not rely on a seller’s pack.
Urgent representations are being made to Ruth Kelly, the Communities Secretary, and Yvette Cooper, the Housing Minister. Kevin Martin, the President of the Law Society, backs the plans for a seller’s pack but said yesterday: “We are worried that there won’t be enough home inspectors accredited in time. It is a rigorous regime and we know that a lot of people are failing the qualification. We also want to know who is to regulate these home inspectors. Who will be the provider of personal indemnity insurance if it all goes wrong?”
A further blow to the scheme is a high dropout rate in the number of people training for the job from other professions. John Brownlow, a property company director, said: “I’ve tried to recruit home inspectors and the calibre of some of the people is laughable. They think they know everything about property by watching Location, Location, Location. My fear is there will be a lot of half-baked surveys and clients will not be able to rely on home condition reports.”
The Conservative Party has already pledged to scrap the packs scheme. Michael Gove, the Tories’ housing spokesman, has tabled questions to ministers about problems with the packs. He said: “The revelation that government plans are in an even more chaotic state than we feared only emphasises the need for ministers to review the whole scheme.”
The Department for Communities and Local Government insisted last night that the policy was “on track”. It confirmed that only 196 people had been approved as home inspectors but said that about 4,000 were being trained: “We are confident there is sufficient time in a year to get the number of qualified people up.”
Packs will contain a home condition report by a home inspector, may require receipts for building work and repairs carried out on the house, and will include details of title deeds, planning and land searches, and an energy efficiency report on the property.
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