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Home buying info gets greener

24 July 2008

Residential developers are under an increasing burden to provide environmental information to consumers as part of the home buying process.

The Home Information Pack regime was expanded to all new homes in April, and energy performance information is an integral part of the pack.

Where homes are sold off plan a predicted energy assessment is used; if the home becomes physically complete during marketing, a full Energy Performance Certificate (EPC) must be added to the pack.

With effect from 1 October, an EPC will also be required on the sale of homes that are not subject to the HIP regime. For example, an EPC must be provided for each dwelling in the case of a stock transfer to a housing association.

There is to be more Government guidance on cost effective production of EPCs for similar dwellings.

In any event, on physical completion of a new home, an EPC must be obtained from an accredited On Construction Energy Assessor and provided to the owner of the property. A final completion certificate will not be issued for the property until this has been done.

EPCs will also be required on new lettings of homes from 1 October - this includes private and social housing lettings. Once obtained, an EPC can be used for lettings of the property for a period of 10 years, provided no other EPC is obtained for the property.

Mandatory Code for Sustainable Homes ratings have been introduced for new homes that are completed with effect from 1 May.   A rating against the Code for Sustainable Homes measures nine categories of sustainable design including energy, water and waste.

Homes that have not been assessed against the Code will score a nil-rating, and the Government has issued guidance as to how to complete a nil rated certificate.

HIPs are again the means of delivery of information to the customer. If a property is marketed as a new home and is finished by the first point of marketing, the HIP must include either a sustainability certificate or a nil-rated certificate.

If a property is marketed as a new home but is not finished by the first point of marketing, the HIP must include an interim sustainability certificate or a nil-rated certificate.

Interim certificates must be replaced by full certificates if the property is finished during marketing.

Although it is not compulsory to design and build a home to Code standards, the Government’s target is for all new homes to reach Level 3 by 2010, and Level 6 by 2016. It is also not compulsory to implement the energy performance recommendations contained in an EPC.

However, these measures increase consumer awareness of just how green a prospective home will be.

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Steve Wiltshire

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T: 08700 86 8378
I: +44 (0)1908 48 8378
E: steve.wiltshire@shoosmiths.co.uk