Lettings and Tenancy Date: February 2015 Version: 1 Document Reference: Document Owner: Annette Morrison See also: Date last reviewed: June 2014 Date due for next review: February 2017
1. Purpose To ensure that the best use is made of our housing stock and larger social housing is used for those in genuine need of it. To outline how and to whom Newlon let their properties and what type of tenancy they will be given. 2. Newlon s Business Plan States Newlon s approach: Making the best use of properties including converting to different tenures; Reviewing occupancy to ensure that homes are being properly occupied and suitable for residents needs; Having an effective system in place that helps detect tenancy fraud. 3. Lettings Policy 3.1 3.2 3.3 Assessing Priority Newlon lets their Social Rent & Affordable Rent properties to the following residents in the following order of priority: Local authority nominations (75% of family sized accommodation; 50% of 1-bed sized accommodation and for most new developments 100% of all the scheme); Existing tenants who need to move to enable substantial repairs or improvements to be carried out in their existing home and have been assessed as needing a decant; Existing tenants who need to be transferred to another property and have been assessed as a priority/urgent transfer; Existing tenants currently living in supported temporary Housing who have been assessed as no longer in need of support and referred on via Hestia or Outward for move-on; (see Move on Policy/Procedure for details) Community lets on the Clissold & Barnsbury estate where family members can be rehoused in order to relieve over-crowding or under-occupation, (in the latter only where Newlon will gain a property - see 3.3 below for more information). Nominations from other social landlords this will be done only on an exceptional basis, for cases where the applicant s housing need would be given priority on your own transfer list & where the above priorities have been met. Assessing Requirements Newlon will let their properties using the following guidance relating to size of accommodation: A separate double bedroom for each couple or single parent. A separate bedroom for any other adult (18yrs +) A single bedroom for one child A double bedroom for two children except where:- Two children of the opposite sex must share and one has reached seven years of age Two children of the same sex share and there is a seven year or more age gap and one child has reached the age of 10 years. Bedroom sizes: single bedroom minimum size 6.5sqm Double bedroom size 10.2sqm Main double bedroom size 11.0sqm. Community Lettings On the Barnsbury and Clissold Estates, Newlon will let some 1 bedroom or bedsit flats on a community lettings basis to alleviate overcrowding or assist in under-occupation cases where Newlon will gain a family sized property. The following criteria are used:
The applicant must be over 18 years old; The tenancy must have been conducted properly with no breaches in the last 12 months, including rent arrears, (only the Housing Director can give approval for such cases, but this will be in exceptional circumstances only); The applicant must have lived as a member of the household for the last 5 years; The applicant understands that this scheme is for those with no dependants; There is no pending application for Right to Buy, Right To Acquire or Social Homebuy; That overcrowding or under-occupation should be assisted. In cases of over-crowding, the rehousing of a family member 1 will reduce the overcrowding and the family s need for a transfer. In the case of under-occupying Newlon should gain a bedroom through rehousing a family member through this scheme and rehousing the remaining family in smaller accommodation. There is a limit of one application per household 3.4 Payment Tenants at sign up are asked to pay a week in advance as the tenancy agreement requires. For tenants on benefits, we request that they make an arrangement after moving in. This is to establish the importance of paying rent and develop a culture of payment. 3.5 Tenancies for Under 18s We will not allocate a property to an applicant who is younger than 18, unless they are a successor. In these exceptional circumstances we will issue an equitable tenancy. 4. Tenancy Policy Newlon grants the following tenancy types: 4.1 Assured Starter These will be granted to all General Needs lettings on a social rent. Nominations for such tenancies will be received from the Local Authority. These will convert to an Assured tenancy, once the Starter Tenancy has been passed ; Tenants cannot be confirmed as lifetime tenants without the Anti-Social Behaviour team and Income team signing them off. 4.2 4.3 Assured Starter Affordable These are granted for particular schemes where the funding prescribes this type of tenancy & rent and for all 1 bed lets, with the exception of Islington. The rent should be set according to the Rent Guidance issued by the Housing Services Director and found on the Intranet. These tenancies will convert to an Affordable Assured Tenancy, once the Starter Tenancy has been passed. Tenants cannot be confirmed as lifetime tenants without the Anti-Social Behaviour team and Income team signing them off. Rents for these lettings can only be rebased once a tenancy comes to an end and a new tenancy is issued (either to the same or different tenant). Fixed Term Tenancies for 5 Years We will grant 5-year Fixed Term tenancies for properties of 4 bedrooms and above. They are Assured Shorthold Tenancies for a fixed term, let on a social rent. The following exceptions apply: 1 A family member is defined as their spouse, common-law spouse, parent, grandchild, child, grandparent, brother, sister, uncle/aunt, nephew/niece. Marriage, half-blood, step relationship and children of common-law relationships are treated as full blood relationship.
Where an existing tenant chooses to transfer to a 4 bedroom property and their tenancy commenced before April 2012, we should not offer a tenancy with less security i.e we should grant them an Assured tenancy rather than a Fixed Term tenancy. If their tenancy started after April 2012 and they choose to move to accommodation let on Affordable Rent terms we can offer a FTT. If their tenancy started after April 2012 and we are requiring them to move then we cannot give less security i.e. we must grant an Assured rather than a Fixed Term tenancy. When issuing a Fixed Term Tenancy, we will issue a Starter Tenancy and then, only after the Starter Tenancy has been passed, we will grant a Fixed Term tenancy for 5 years. Where a mutual exchange is permitted the term remaining on the Fixed Term Tenancy will be replicated if to another 4 bed property. 4.4 Affordable Rent Fixed Term Tenancies for 2 years These may be used to help market homes that have been refused on three occasions by local authority nominations or transfer applicants or similar hard-to-let properties. Properties will be marketed via the Intermediate Rent website www.newlonlettings.org.uk where adverts will outline eligibility criteria. We will issue a Starter Tenancy initially and then, assuming the Starter Tenancy is passed, a new Fixed Term Tenancy for 2 years. A deposit must be taken for these tenancies. For guidance on how to handle deposits, please refer to the Deposits procedure. 4.5 Assured Shorthold Tenancies for Intermediate Rent Properties will be marketed via the Intermediate Rent website www.newlonlettings.org.uk where adverts will outline eligibility criteria. A deposit must be taken for these tenancies. For guidance on how to handle deposits, please refer to the Deposits procedure. 4.6 Assured Shorthold Tenancies for Intermediate Rent (Employer Controlled/Royal Free Hospital) In order to qualify for these tenancies, residents must be nominated by the Royal Free Hospital or another specified employer. A deposit must be taken for these tenancies. For guidance on how to handle deposits, please refer to the Deposits procedure. 4.7 Secure These must only be granted to residents who already have a Secure Tenancy and are transferring within Newlon stock & under a Statutory Mutual Exchange. What the law says about Secure Tenants: Paragraph 112 of Schedule 11 to the Local Government and Housing Act 1989 preserved the status of existing Secure Housing Association tenants. Section 35 of the Housing Act 1988 provides that a grant of a new tenancy by the same landlord after 15 th January 1989 to a tenant who was immediately prior to the grant a Secure and/or Housing Association tenant of that or another property would take effect as a Secure and/or Housing Association tenancy.
4.8 Protected Right To Buy Tenancies These are only granted to a Newlon resident (living on the Barnsbury or Clissold Estate) who already has this tenancy type and is: a) moving because we are requiring them to; b) moving as a result of a Statutory Mutual Exchange. 5. Fixed Term Tenancies 5.1 Probationary Period /Starter Tenancy In order to grant a Fixed Term Tenancy, we will issue a separate Starter Tenancy and once this has been passed we will issue a new Fixed Term Tenancy 5.2 The different attributes of a FTT: The Localism Act extended the Right to Acquire to tenants with Fixed Term Tenancies, subject to the usual qualifying criteria, although Intermediate Rent properties and tenancies with fixed term of less than 2 years are exempt. It does not extend to Assured Shorthold Tenancies granted prior to April 2012; The Localism Act (S17 of the Housing Act 1988) ensures that Housing Association tenants with Fixed Term Tenancy have the same statutory succession rights as those with an Assured Tenancy. New tenancies will not be granted where a contractual succession right is given in the tenancy. For mutual exchanges, where a Fixed Term tenant swops to a smaller property, we end the tenancies and grant new tenancies. The person going into the 4 bed will have a Fixed Term Tenancy if they had a tenancy starting after 2012 or a tenancy of equal security to the one they are giving up. Any exceptions need to be approved by the Housing Director. We are allowed to demote a Fixed Term Tenancy to a periodic Assured Shorthold Tenancy. 6. Review of Fixed Term Tenancies 6.1 The Lettings Team are responsible for scheduling and undertaking reviews of Fixed Term Tenancies 7 months in advance of the tenancy end date. This must be done in conjunction with the Enforcement and Income Team. When considering renewal of a Fixed Term Tenancy, we will take the following factors into account: Whether the tenants housing needs/circumstances remain the same; Whether the tenant still has a need for the type of property they are occupying; Whether the tenant is under-occupying (lodgers are not considered part of the household); Whether the tenant is overcrowded and should be considered for a transfer; Whether any adaptations that have been made to the property are still required; Whether there have been breaches of tenancy, such as: o Where an obligation of the existing tenancy has been broken or not performed; o o Where a court order for possession or a suspended possession order has been made for either property; Where the landlord has served a notice of seeking possession and the notice is still in force, or possession proceedings have commenced. Whether there are particular needs within the household, people who are vulnerable by reason of age, disability or illness, households with children, including the provision of tenancies which provide a reasonable degree of stability; Whether the tenant meets the Income criteria as defined by Greater London Assembly First Steps (see the box overleaf).
Greater London Assembly First Steps Income Criteria January 2015 The household should have an income of no more than 66,000 per annum for a one or two bedroom home and no more than 80,000 per annum for three or more bedrooms. Where there has been a change of circumstances and the above criteria is no longer met, then Newlon will either: Make a single offer of alternative accommodation within Newlon stock. We will do this where we are able to make a suitable offer of accommodation within the last year of the tenancy. If the accommodation is smaller than a 4-bed it will not be on a Fixed Term Tenancy. Or, where this is not possible or the housing need does not justify it: Provide advice and assistance to tenants on finding alternative accommodation in the event that they decide not to grant another tenancy, this includes promoting mutual exchanges 7. Ending a Fixed Term Tenancy 7.1 7.2 The grounds for possession are more limited Principle of surrender does apply but only if both parties agree; Abandonment issues will continue to be assessed on risk basis but without using NTQ; Where no further tenancy is to be given there are 3 condition s to get a court order for possession to terminate the tenancy: o Fixed term has ended; o o Landlord has given 6 months notice in writing stating that the landlord does not propose to grant another tenancy on the expiry of the fixed term, the reasons why, the tenant has a right to request a review and the timescale for this; The tenant has been given no less than 2 months notice in writing stating that the landlord requires possession of the dwelling house. Both the 6 month notice period and the serving of the 2 month notice can be given to coincide with the ending of the fixed term. 8. Appeal Process 8.1 Where a resident has been advised that a further Fixed Term Tenancy will not be granted and they wish to appeal against the decision, they should do so within 14 days of notification of the decision. They should submit their appeal in writing stating the reasons for appeal. This will be reviewed by an Appeals Panel which will consist of two Senior Managers who have not been involved in the case previously, to ensure independence is maintained. 8.2 8.3 If they remain unhappy this can be treated as a Stage 1 Complaint please refer to the Complaints procedure for guidelines relating to the handling of complaints. Once this is received by the Service Resolution Team, they should review the decision regarding the Fixed Term Tenancy. If the resident remains unhappy with this decision they can escalate to the Complaints Case Panel. The exception is where the case has become legal where legal action to end the tenancy has been lodged in the court. 9. Joint Tenancies
9.1 Granting Joint Tenancies 9.1.1. A Joint tenancy is normally a tenancy held by 2 people, but in exceptional circumstances can be held by up to 4 people. Newlon will only create a joint tenancy in the following circumstances: People nominated jointly by the local authority; Tenants who apply for a joint tenancy and their tenancy agreement expressly states that Newlon are obliged to do so and both applicants are using the property as their sole and principle home. 9.1.2. We will consider applications from married couples and other co-habiting couples who have lived together for more than 12 months, where there have been no breaches of tenancy and the accommodation is suitable for their current housing needs. 9.1.3. The Lettings Officer is responsible for ensuring that all applications have the following: proof of occupancy for qualifying period; documentation showing marriage/co-habitation; a declaration that the prospective joint tenant has no tenancy elsewhere or owns a property elsewhere; no breaches of tenancy which must be confirmed by Income and Enforcement; confirmation that the accommodation still meets the needs of the household; 9.1.4. The Head of Housing is responsible for approving/rejecting joint tenancy applications. The Lettings Officer is then responsible for communicating this to the resident. A new tenancy will need to be signed for any new joint tenancies created and conversely the tenant(s) will need to serve a NTQ ending the sole tenancy. 9.1.5. If a joint tenancy is agreed on Barnsbury Estate, the tenants will retain their protected tenancy rights, which includes rent guarantees, and the Right to Buy. 9.2. Ending a Joint Tenancy 9.2.1. Where a resident advises Newlon that their partner who is named as a joint tenant has moved out and they want their name removed from the tenancy agreement, the Service Centre should advise them that they have the following options 10. Succession Request the outgoing joint tenancy to put in writing that they relinquish their interest in the property; Seek legal advice to get tenancy named in proceedings through Family Court under the Family Law Act 1996 which can transfer a joint tenancy into the sole name of one tenant. This can be done if they are the remaining occupier and the joint tenant or the tenant s former spouse, civil partner or cohabitee (and the property was the family home). Serve a Notice to Quit on Newlon ending the joint tenancy (see Ending a Tenancy policy for further information). This could be subject to a challenge by the other joint tenant. There is no automatic right for a Sole Tenancy to be created and the Lettings Team would need to consider this request. For full guidance on granting succession please refer to the Succession procedure. Newlon s policy on discretionary succession considers the following factors: How long has the applicant been living at the property? Does it meet the qualifying period?
Are they a member of the deceased tenants family? Would they qualify if it were a Secure Tenancy? Have there been any breaches of tenancy in the past 12 months? Are there arrears? What is the agreement to reduce these? Has use & occupation charges been paid since death of resident? Will the arrears be carried over as a clause inserted into new agreement (not part of arrears for rent arrears action purposes)? Will the applicant be under-occupying the property? Are the potential successors vulnerable, how are their needs being taken into account? 11. Tenancy Sustainment Newlon s aim is to ensure that tenants, if they require it, can access appropriate support to help them manage their tenancies well and thereby minimise tenancy failure and eviction. The following measures are in place to assist with this: 11.1. Starter Tenancies As part of our strategic approach to tenancy management, we have adopted the use of Starter Tenancies throughout our General Needs housing provision. They are a tool to assist in tackling anti-social behavior and to help ensure that residents are clear about how they should conduct their tenancy. 11.2. Assessing Vulnerability All new tenants, including those who become tenants through succession or mutual exchange, will be interviewed to assess vulnerability. This is to ensure that: We are able to adjust services where appropriate; We are aware of cases where support agencies are involved; We are able to identify cases where the involvement of support agencies would be beneficial; We are able to link the resident to appropriate services provided by Newlon Fusion. 11.3. Fusion Services Newlon Fusion provides a range of services that can assist with tenancy sustainment: Providing access to employment advice, volunteering, and apprenticeships; providing opportunities to improve skills and access training & access to employment. Helping residents save money and energy through effective and practical support; Providing debt advice. 12. Tackling Tenancy Fraud In order to check that our property is occupied as a principal home by the correct tenant we will carry out a tenancy audit. We will audit 20% per cent of our tenancies every year and investigate any claims of illegal occupation made by a third party such as our contractors, members of staff, neighbours, the Local Authority, or other partners such as the Police.