Yesterday's reader's question continues to attract comment and opinion. Our view is that it isn't entirely clear... that it will take a test case to really define "action" when it comes to marketing a property. But - here's some more information from Jim, of Properties Direct:

The actual regulations are more specific about the transitional period (June 1 - December 31) and state:

Exception - transitional arrangements

34. --(1) In this regulation, "transitional period" means the period starting with 1st June 2007 and ending with 31st December 2007.
(2) This regulation applies in relation to a property where--
(a) the property is put on the market by or on behalf of the seller before 1st June 2007;
(b) action taken at any time during the period starting with 1st June 2006 and ending with 31st May 2007 by or on behalf of the seller, made public the fact that the property was on the market;
(c) such action was taken with the intention of selling the property before 1st June 2007; and
(d) such action was sustained to a reasonable extent after it was put on the market, during the period starting with 1st June 2006 and ending with 31st May 2007.

Although your reader is OK under a) and b) they fall foul of c) AND d) unless they actually take active steps to sell the property. Incidentally, Estate Agents will probably be more likely to insist on the ECR for new instructions during the interim period because the latest proposal is to increase the fine to £500 for non-compliance by Estate Agents. This is because the original £200 was seen as too low compared with their potential fees for the sale(!) It is proposed to remain at £200 for private sellers but will be reviewed after June 1.

Thanks, Jim.

On HIPs - a question for our readers [April 25, 2007]

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