Energy Performance Certificates
Since 1st October it has become the law that an Energy Performance Certificate (EPC) is required for the sale or let of all homes.
This now includes properties which do not require a Home Information Pack (HIP), either because they are exempt or they were placed on the market before the requirement to have a HIP commenced for that size or category. What few people realise is that the EPC must now be made available for any home, free of charge, to a prospective buyer or tenant at the earliest opportunity.
This differs somewhat from the requirement in regard to the HIP. The failure to produce a EPC can leave a seller or indeed a landlord (if the owner of the property is proposing to rent the property as opposed to sell) liable to a fine of £200.
It is important that the seller (or landlord) obtains the EPC as soon as they decide to either sell or let the property.
The legislation requires a seller or landlord to produce the EPC before any of the following events happen:
· when the building is viewed by a prospective buyer or tenant (even if this means producing the EPC before any written information is provided);
· If written information about the property is provided as a result of a request by a prospective buyer or tenant; or
· before Contracts are exchanged (in the case of a sale) or the Tenancy Agreement is signed in the case of a let.
It is therefore not the placing of a property on the market to sell or to let which defines the point at which an EPC must be available, it is in fact any of the circumstances listed above.
For the purpose of the legislation, the seller or landlord is the “relevant person” and is responsible for making the EPC available. It is therefore the seller or landlord, not the agent or letting agent, who is liable to the penalty charge if the EPC is not available.
A seller or landlord should therefore make a proper request for an EPC in good time at least 14 days before it is required in order to avoid any penalty charges. If you therefore propose to place your property on the market and you expect to have viewings or provide written information or exchange Contracts, you should consider obtaining an EPC as soon as possible.
Please contact Andrew Mallory or Rachel Hutcheon if you would like assistance in obtaining an EPC.