AMI to provide HIPs factsheet
The guide, to be released imminently, is aimed at preparing members to understand the background to HIPs, explaining exactly what one would contain, the costs involved, the timescale for their introduction and setting out opportunities presented to brokers.
AMI has been undertaking a programme looking at the impact of HIPs through convening a working party with representatives from across the industry spectrum to determine the issues for the benefit of its members.
It also held a meeting between members and a representative from the Office of the Deputy Prime Minister (ODPM) to hear what impact the government thought HIPs would have and what role mortgage brokers could play.
Chris Cummings director-general of AMI, commented: “The guide also considers regulatory implications. This is an area which is still being resolved and AMI has a clear view about what the implications are for members.
“Interestingly, as with any new exercise, there will be a range of possibilities thrown up, including whether a new Ombudsman service should be established for all matters relating to housing. This would mean more costs so before we rush in, we need to understand where any extra burden will fall.”
Ray Boulger, senior technical manager at John Charcol, said: “There is still the big question of who will pay and how it will affect distribution. I question how HIPs are going to be of real benefit to consumers. If people aren’t prepared to read a KFI that’s six to eight pages long then how many will read a 100-300 page HIP report?”