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Types and Length of Lease - EST0208A

Policy Last Amended: 01 Jul 2009
  • Policy statement
  • Aboriginal Housing Office clients
  • Service standards
  • Policy detail
  • Allocating a type and length of lease
  • When Housing NSW confirms the type and length of lease
  • When the type and length of lease offered is rejected
  • Decisions made at lease review
  • Assessment criteria for lease review
  • Exemptions
  • Change of circumstances after lease review
  • Type and length of lease after a transfer or mutual exchange
  • Type and length of lease after Tenancy Reinstatement approval 
  • Type and length of lease after a succession of tenancy
  • Transition assistance for tenants who are not eligible for a lease extension
  • Changing the length of the lease
  • Appealing decisions or actions of Housing NSW
  • Legislative requirements
  • Further information
  • Past income limits at lease review
  • Policy statement

    Housing NSW recognises that people's needs and financial circumstances can change over time. The intent of this policy is to offer leases that reflect the length of time that the client is likely to need public housing.

    Housing NSW will work together with support services to assist people who need support during their lease to maintain their tenancies.

    Housing NSW offers leases of different types and lengths depending on a client's circumstances, and any specific conditions that may be attached to the offer of housing. Tenants housed prior to 1 July 2005 were generally provided with a continuous lease. Since 23 October 2006, most clients have been offered a fixed term lease of 2, 5 or 10 years. In some specific situations Housing NSW will offer a lease of 3 or 6 months. These situations are explained in the Policy Detail section of this policy.

    Housing NSW bases its decision on the information that is provided by the applicant when they apply for housing and on other relevant information.

    Housing NSW provides an indication of the likely type and length of lease it will offer when a new application is assessed, or when an applicant’s household circumstances change.

    Housing NSW explains how it decides which type and length of lease it offers, when making an offer of accommodation to a client, and when conducting a lease review.


    This document applies to all social housing premises managed by Housing NSW. Housing NSW has no separate classes of social housing premises for the purposes of section 63(B) to 63(F) inclusive of the Residential Tenancies Amendment (Social Housing) Act 2005 or generally.

     

    This policy is consistent with the approved Ministerial Guidelines for assessing the eligibility of a tenant to reside in social housing. The policy provides further details and explanation of the Guidelines.

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    Aboriginal Housing Office clients

    This policy also applies to clients of the Aboriginal Housing Office living in or applying for properties managed by Housing NSW.

    Where Housing NSW proposes to make a decision not to extend the lease of a tenant of an Aboriginal Housing Office property, Housing NSW will refer the decision to the Aboriginal Housing Office for review before it is finalised.

    Service standards

    Clients can expect Housing NSW to explain:

    • the criteria for offering a type and length of lease
    • proof of income is required for all approved household members aged 18 years and over
    • the types of documentation that are required at application and for the lease review
    • how the decision was made to offer the particular type and length of lease
    • why a lease may not be extended
    • all information provided by the client and the household is treated in a confidential manner.

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    Policy detail

    Applicants offered housing by Housing NSW are offered a lease that has a fixed end date. Housing NSW makes a decision about the type and length of lease it will provide an applicant when it offers a property. Housing NSW does this by deciding which type and length of lease best matches the client’s needs.

    The types and length of leases that Housing NSW offers are set out in Table 1 below.

    Table 1: Types and length of leases

    Fixed term leases of 2, 5 or 10 years

    Since 23 October 2006 most clients housed by Housing NSW are offered a 2 year, 5 year or 10 year lease.

    10 year

    10 year leases are for clients with ongoing housing and support needs that are unlikely to decline over the next 5 years.

    5 year

    5 year leases are for clients with housing and support needs that will most probably continue in some form over the next 5 years.

    2 year

    2 year leases are for clients with transitional or temporary support needs that will probably decline over the next 2 years

    or

    the client’s continuing need for public housing is unclear over the next 5 years because the household’s financial circumstances may improve.

    Fixed term leases of 12 months

    Housing NSW offered 12 month leases to existing tenants who:

    • had an 18 month interim lease, and

    • underwent a review at the end of their 18 month lease, and

    • were not eligible for a 2, 5 or 10 year extension to their lease

    From May 2008 Housing NSW ceased to offer 12 month fixed term leases.

    Fixed term leases of 3 or 6 months

    Housing NSW offers 3 or 6 month leases when it houses an applicant who:

    • would not usually be eligible for Housing NSW managed housing (AHO or public housing properties)

      or

    • has a poor tenancy history as a former tenant in Housing NSW managed properties

    3 months

    3 month leases are for applicants who are offered Emergency Temporary Accommodation. For more information see the policy Emergency Temporary Accommodation.

    6 months

    6 month leases are for applicants who are offered housing in one of the following situations:

    • former tenants of a Housing NSW managed property who were classified as unsatisfactory or less than satisfactory when they left their previous Housing NSW tenancy. For more information see the policy Housing Former Tenants.

    Interim leases

    Housing NSW offered interim leases to clients who signed a lease from 1 July 2005 to 20 October 2006 during a transitional period when Housing NSW was developing the arrangements for 2, 5 and 10 year leases. From 23 October 2006 Housing NSW ceased to offer 18 month interim leases.

    Continuous Leases

    Continuous leases refer to tenants who were housed before 1 July 2005 and who have lived continuously in Housing NSW managed properties since being housed. Housing NSW no longer offers continuous leases to new tenants entering Housing NSW managed housing.

     

    Continuous leases do not have a set end date. The lease continues as long as the tenant wants to live in public housing, provided the tenant meets the terms and conditions of their lease.

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    Allocating a type and length of lease

    Assessment criteria for allocating a type and length of lease

    The assessment criteria used by Housing NSW to decide which type and length of lease to offer applicants and tenants on a fixed term lease during lease review are set out in Table 2 below.

    For more detailed information about the types and lengths of leases offered by Housing NSW in specific situations refer to the Tenancy Types Table.

    Table 2: Assessment criteria for allocating types and length of leases

    Lease type

    Lease length

    Assessment criteria

    Fixed term

    10 year

    The client or another approved member of the household:

    • is aged 65 years or over

      or
    • is an Aboriginal or Torres Strait Islander person aged 45 years or over

      or
    • receives support from a person receiving the Centrelink Carer Payment or Carer Allowance (this carer does not need to reside in the property)

      or
    • receives support from one of the following programs:
      • Attendant Care Program
      • ADAHPT (Aids, Dementia & HIV Psychiatry Team) Service
      • Children's Home Ventilation Program
      • High Needs Pool (Care Program)
      • HASI 1, 3 or 4 (Housing and Accommodation Support Initiative 1, 3 or 4)
      • Lifetime Care and Support Scheme 
      • Community Aged Care Package
      • EACH (Extended Aged Care at Home) Package
      • Ventilator Dependent Quadriplegic Program

    5 year

    • The client’s household includes at least one child under 10 years of age

      or

    The client or another approved member of the household:

    • is in receipt of a Disability Support Pension, Age Service Pension, Invalidity Service Pension, Partner Service Pension, Carer Payment, Carer Allowance or Mobility Allowance

      or
    • is a client of the NSW Office of the Protective Commissioner

      or
    • is a client of the NSW Office of the Public Guardian

      or
    • is participating in the Brain Injury Rehabilitation Program

      or
    • is participating in a Transition to Work Program or Community Participation Program

      or
    • is a young person aged 16-18 years leaving the care of the Department of Community Services, Out-Of-Home Care, or juvenile detention and receiving the Youth Disability Supplement

      or
    • has an enduring (permanent, or likely to be permanent) disability, medical condition or permanent injury restricting everyday activities, but does not receive support from a listed program

      and

      can show that because of their condition, significant hardship would occur if a 2 year fixed term lease was offered (instead of a 5 year fixed term lease).

    2 year

    The household is eligible for Housing NSW managed housing but does not meet the assessment criteria for any of the other types and lengths of lease listed in this table

    or

    The household is not eligible for a lease extension but can demonstrate a severe and continuing need to stay in public housing. For more information see Assessment criteria for exemptions.

    12 months

    The tenant:

    • had an interim 18 month lease

      and

    • was assessed as ineligible for a 2, 5 or 10 year extension to their lease at lease review

    3 months

    Emergency Temporary Accommodation

    For more information see the policy Emergency Temporary Accommodation.

    6 months

    Former tenant classified as Unsatisfactory or Less than Satisfactory

    For more information see the policy Housing Former Tenants.

    Interim

    18 month lease

    The tenant:

    • was housed in a Housing NSW managed property on or after 1 July 2005 but before 22 October 2006

      or
    • was approved for another lease at the end of a 6 month fixed term lease

      and
    • the 6 month fixed term lease ended between 1 July 2005 and 22 October 2006.

    Continuous

    The tenant:

    • was housed before 1 July 2005

      and
    • is listed as a tenant or joint tenant on the lease
    • has lived continuously in properties managed by Housing NSW or leasehold properties managed by community housing providers under the long-term Community Housing Leasing Program since being housed.

    Tenants who signed renewable tenancy agreements are included in this category.

     

    A tenant who is entitled to be in this category cannot lose their entitlement to a continuous tenancy by signing a new lease or moving to a different property. This means they cannot lose an entitlement by:

    • signing a new lease
    • creating a joint tenancy with a spouse or de-facto partner
    • transferring to another public housing property
    • being relocated by Housing NSW for management purposes
    • moving from an Aboriginal Housing Office property to a public housing property
    • moving from a public housing property to an Aboriginal Housing Office property
    • voluntarily moving from a public housing property to subsidised private rental accommodation to access the Special Assistance Subsidy (SAS) at the request of Housing NSW, and later returning to a public housing property
    • transferring to a community housing managed property under the Housing NSW-managed Stock Transfer Program and later exercising their entitlement to return to a Housing NSW managed property.

    A tenant who is entitled to be in this category will lose this entitlement to a continuous tenancy if:

    • their lease is terminated by the Consumer, Trader and Tenancy Tribunal
    • they move out of the property to live in another property that is not managed by Housing NSW, other than as part of the Housing NSW-managed Stock Transfer Program
    • a joint tenancy is created with another approved household member who is not the spouse or de-facto partner.

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    Support programs

    Housing NSW recognises particular intensive support programs as indicating that a household has a long-term need for stable housing. Ongoing support under these programs is critical for the household to live independently in the community. The support may be for any approved member of the household.

    Clients or approved members of the household who receive assistance from a support program that is not listed in Table 2: Assessment criteria for allocating types and length of leases should tell Housing NSW so that we can take this information into consideration when deciding on the household’s eligibility for a 5 year lease. See also Table 3: Evidence requirements to determine length of lease, and Table 11: Situations where a length of lease can be changed.

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    Evidence requirements for length of lease

    Clients are responsible for providing Housing NSW with evidence of the income received by household members who are listed on their application for public housing or for approved household members at lease review.

     

    Clients are also responsible for providing any other information about their household that is required to assess the type and length of lease to be offered.

     

    The evidence requirements used to determine a length of lease a client is offered are listed in Table 3 below.

    Table 3: Evidence requirements to determine length of lease

    Criteria

    Evidence required

    Income

    Any documents provided as verification of income must be original and can be verified through the same income evidence requirements outlined in the policy Eligibility for Public Housing.

    Ongoing access to care or support program

    Formal care

    Letter from the organisation providing the care or support program detailing the type of care or support provided. For more information see Table 2: Assessment criteria for allocating types and length of leases.

     

    Care provided by an individual

    • A copy of a Centrelink statement confirming receipt of the Carer Payment or Carer Allowance

      or

    • A copy of a Circumstance Review Form issued by Centrelink

      or

    • A copy of the Concession card from the person who is receiving the care. The concession card must identify their carer.

    Disability

    Centrelink statement confirming receipt of one of the following income types:

    • Disability Support Pension

    • Carer Payment

    • Carer Allowance

    • Mobility Allowance

    Veterans

    Department of Veteran Affairs statement confirming receipt of one of the following service pensions:

    • Age Service Pension

    • Invalidity Service Pension

    • Partner Service Pension

    Persons aged 65 years or over

    • Birth certificate

      or

    • Passport

    Aboriginal or Torres Strait Islander person aged 45 years or over

    • A completed Housing NSW, Aboriginal Housing Office Declaration form DH3020

      and

    • A birth certificate or Passport.

    For more information see the policy Aboriginal People and Housing Assistance.

    Participation in a Transition to Work Program or Community Participation Program

    A letter from the Program provider

    A client of the NSW Office of the Protective Commissioner or the NSW Office of the Public Guardian

    A letter of confirmation from either Office

    Young people leaving DoCS, Out-Of-Home care, or juvenile detention and in receipt of a Youth Disability Supplement

    • A letter of confirmation from the Department of Community Services (DoCS) or an accredited Out-of-Home care provider or a letter of discharge from the Department of Juvenile Justice (DJJ)

      and

    • A Centrelink income statement

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    When Housing NSW confirms the type and length of lease

    Housing NSW gives an indication to applicants on the housing register of the likely type and length of lease they will be offered when they are housed. These indications are based on the current circumstances of the household. For applicants, the decision on what lease is offered is not confirmed until the applicant accepts an offer of a property when it is their turn to be housed.

     

    Existing tenants on a fixed term lease will be advised of the likely length of lease extension they will receive at the end of their current fixed term lease. This decision is based on a review of the current circumstances of the household.

     

    Both applicants and tenants on fixed term leases can request an internal review of a decision made by Housing NSW. If the applicant or tenant is not satisfied with that decision, the Housing Appeals Committee (HAC) can conduct an external review. For more information see Appeals and Review of Decisions of Housing NSW.

     

    Table 4 below provides a summary of the situations where Housing NSW confirms the type and length of lease that an applicant or tenant on a fixed term lease will receive.

    Table 4: When Housing NSW confirms the type and length of lease

    Situation

    Action

    1. Applicant admitted to the Housing Register

    Indication

    Housing NSW sends the applicant a letter advising them of the likely type and length of lease they will receive if their situation remains the same when they are housed. An applicant cannot request a review of an indication of a likely type and length of lease.

    2. Applicant advises Housing NSW of changes in situation

    Indication

    Housing NSW sends the applicant a letter confirming that their current household circumstances have been recorded. The letter indicates the likely type and length of lease the applicant will receive if their situation remains the same when they are housed. An applicant cannot request a review of an indication of a likely type and length of lease.

    3. Applicant offered housing/lease extension offered to a tenant after lease review

    Decision

    Housing NSW decides the type and length of lease an applicant will be offered when it makes an offer of a property, and following a lease review assessment of an existing tenant. The type and length of lease offered is based on current household circumstances. A request for a review of the decision to offer a particular type or length of lease may be made at this stage. For more information see Appealing Decisions or Actions of Housing NSW

    4. Applicant signs a lease/ tenant is issued with a Section 14A Notice confirming a lease extension

    Confirmation

    When the applicant signs the lease, Housing NSW confirms that the type and length of lease offered is the correct one according to the household’s current circumstances.

     

    Applicants may request a review of the decision to offer a particular type or length of lease.

     

    A Section 14A Notice advises tenants that Housing NSW has extended the term of their lease for a specified period. A review of the decision must be lodged before a Section 14A Notice is issued.

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    When the type and length of lease offered is rejected

    Housing NSW does not leave a property vacant while it resolves a disagreement about the length of lease offered. It will advise an applicant who disagrees with the length of lease offered to accept the property, sign the tenancy agreement and then request a review of the decision about the type and length of lease.

     

    If the applicant refuses to sign the tenancy agreement because they disagree with the type or length of lease offered, their refusal will be considered a rejection of an offer. For more information see Changing the length of the lease and the policy Offering a Property to a Client.

    Lease reviews for tenants on fixed term leases

    Apart from continuous leases, all leases offered by Housing NSW have an end date. Housing NSW reviews leases before the fixed term ends to decide if an extension to the lease should be offered and, if so, how long the lease should be.

    The Housing NSW timeframes for lease reviews are set out in Table 5 below.

    Table 5: Timeframes for lease reviews

    Lease type

    Lease length

    Timeframe for lease review

    Fixed term

    2, 5 or 10 year leases

    6 months before the lease ends

    12 month lease

    6 months before the lease ends

    3 month lease

    3 weeks before the lease ends

    6 month lease

    4 weeks before the lease ends

    Continuous

    Continuous leases do not have an end date so Housing NSW does not conduct a lease review.

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    Decisions made at lease review

    Housing NSW decides if the tenant is eligible for an extension to their lease. If the client is eligible, Housing NSW also decides the type and length of lease extension they will be offered.

     

    The criteria used to decide the type and length of lease extension to offer the tenant is the same as the criteria used to allocate a type and length of lease to applicants. For more information see Table 2: Assessment criteria for allocating types and length of leases.

     

    Housing NSW will write to the tenant to tell them the decision it has made at lease review. The range of decisions that Housing NSW can make at a lease review are set out in Table 6 below.

    Where Housing NSW offers to extend a lease, the offer may be for a different property to the one the tenant is currently living in.

    Table 6: Decisions at lease review

    Type and length of lease

    Possible decisions from lease review

    Fixed Term (2 year, 5 year or 10 year extension to the lease)

    • If the tenant is assessed as eligible for a lease extension, Housing NSW will offer a further 2 year, 5 year or 10 year extension to the lease depending on their need.
    • If the tenant is assessed as not eligible for a lease extension after an income and property assessment, Housing NSW may offer a further 2 year extension of the lease if the household meets the criteria for an exemption.
    • If the tenant is assessed as not eligible for a lease extension, Housing NSW will advise the tenant in writing that it will not offer an extension to the lease and that the tenant must move out of the property when the current lease ends.

    Fixed term (3 month or 6 month)

    Emergency Temporary Accommodation

    • If the tenant still has a need for Emergency Temporary Accommodation they may be eligible for a lease extension of 3 months
    • If the tenant has demonstrated that they have a longer term need for public housing and they meet the eligibility criteria for public housing including the income limits for entry to public housing, Housing NSW will offer them an extension to their lease. The lease extension will be 2, 5 or 10 years depending on their need.
    • If the tenant no longer needs Emergency Temporary Accommodation and has not demonstrated they have a longer term need for public housing, Housing NSW will advise the tenant in writing that they must move out of the property when the lease ends.

    Former Unsatisfactory or Less than Satisfactory tenant

     

     

    • If the tenant has demonstrated that they are able to meet their responsibilities under the Residential Tenancies Act, Housing NSW will offer them an extension to their lease. The lease extension will be 2, 5 or 10 years depending on their need.
    • If the tenant has demonstrated that they are not able to meet their responsibilities under the Residential Tenancies Act, Housing NSW will advise the tenant in writing that they must move out of the property when the lease ends.
    • If Housing NSW does not have enough information to make an informed decision about the future of the tenancy it will advise the tenant that their lease will be extended for a further 6 months.

    Continuous

    Housing NSW does not review a continuous lease.

     

    Tenants may request a review of the decision to offer a type or length of lease extension, as well as the decision not to extend the lease.

     

    The lease extension commences when Housing NSW issues a Section 14A Notice. A Section 14A Notice advises the tenant that Housing NSW has extended the term of their lease for a specified period. It is issued after the current tenancy has ended and the Notice becomes part of the tenancy agreement. It is not necessary to sign a new tenancy agreement.

    Assessment criteria for lease review

    The aim of the lease review is to decide:

    • if the tenant is still eligible for Housing NSW managed housing, and if so
    • what type and length of lease extension the tenant should be offered, and
    • if the current dwelling is appropriate to the needs and size of the household.

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    Details of the lease review assessment criteria are explained in Table 7 below.

    Table 7: Assessment criteria for lease review

    Fixed term lease

    Lease length

    Lease review criteria

    2 year

    5 year

    10 year

    12 months

    At the time the lease review is conducted the following criteria apply:

    Property

    The tenant is eligible if the tenant or the tenant’s partner or spouse does not own or part own property or real estate that could provide a viable alternative to public housing. For more information see Tenants who own or part own property or real estate.

    and

    Income

    The tenant is eligible if the household:

    1. has a total weekly assessable income that is less than or equal to the weekly income limit at lease review for a household of the tenant’s current size and type. For more information see Table 8: Income limits at lease review.

      or
    2. has a total assessable income for the year preceding the lease review date that does not exceed the income limit for lease review for a household of the tenant’s current size and type. For more information see Table 8: Income limits at lease review.

    or

    Exemptions

    the tenant has not met the income tests of 1 and 2 above but can otherwise demonstrate that their need for housing qualifies them for an exemption. For more information see Assessment criteria for exemptions.


    Where a lease extension will not be offered

    A tenant is not eligible for an extension to their lease if:

    • the tenant or their partner or spouse own or part own property that they can live in or sell

    or

    • the total weekly household assessable income is more than the weekly income limit for lease review

    and

    • the total assessable income for the year preceding the lease review date exceeds the income limits for lease review for a household of the tenant’s current size and type

    and

            no exemptions apply

    or

    • where Housing NSW has requested information from the tenant for the purposes of lease review and the tenant refuses to provide this information.

    Emergency Temporary Accommodation

    3 months

    At the time the lease review is conducted:

    • the tenant is still in need of Emergency Temporary Accommodation

    or

    • the tenant must meet the public housing eligibility criteria including the income limits for entry to public housing. For more information see the policy Eligibility for Public Housing.

    Former tenant classified as Unsatisfactory or Less than Satisfactory

    6 months

    At the time the lease review is conducted:

    • the tenant meets the income limits at lease review

    and

    • the tenant or the tenant’s partner or spouse does not own or part own property or real estate that they could live in or sell

    and

    • the tenant has repaid any outstanding debt, or has demonstrated a commitment to repay an outstanding debt

    and

    • has demonstrated an ability to sustain a successful tenancy.

     

    For tenants housed under the NSW Housing and Human Services Accord Partnerships, Housing NSW will consult the partner agency during the lease review.

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    Income limits at lease review

    The income limits at lease review specify the maximum income (before tax) that a household can earn and be eligible for a lease extension. They are set at a higher level than the income limits for entry to public housing. The higher limit makes allowance for households that have improved their financial position over time. These limits are listed in Table 8 below.

     

    The types of income that Housing NSW assesses at lease review are the same as those used to assess public housing eligibility and rent subsidy reviews. For more information see the policy Eligibility for Public Housing.

     

    Any documents provided as verification of income must be original and can be verified through the same income evidence requirements outlined in the policy Eligibility for Public Housing.

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    Table 8: Lease review income eligibility limits from 1 July 2008

    Type of household

    Maximum gross income (before tax)

    Weekly

    Annual

    First adult (single)

    $769

    $40,100

    Single + 1 child

    $925

    $48,300

    Single + 2 children

    $1,031

    $53,800

    Single + 3 children

    $1,137

    $59,300

    Single + 4 children

    $1,243

    $64,900

    Couple

    $969

    $50,600

    Couple + 1 child

    $1,125

    $58,,700

    Couple + 2 children

    $1,231

    $64,200

    Couple + 3 children

    $1,337

    $69,800

    Couple + 4 children

    $1,443

    $75,300

    Household Members (regardless of relationship)

    Weekly

    Annual

    Single adult

    $769

    $40,100

    Each additional adult (18 years or over)

    Add $200

    Add $10,500

    First Child (under 18)

    Add $156

    Add $8,200

    Each additional child (under 18 years)

    Add $106

    Add $5,600

    Disability Allowance (per person)

    Add $80

    Add $4,200

    Exceptional Disability Allowance (per person)

    Add $155

    Add $8,100

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    No income or reduced statutory income

    There are certain situations where Housing NSW will assume that a tenant or adult household member has income for lease review purposes even though they do not have an income or are receiving a reduced statutory income. These situations are outlined in the Rental Subsidies policy

    In these situations Housing NSW will assess them as receiving a standard Centrelink income support payment, unless the client can provide evidence to demonstrate that they are not eligible to apply for a Centrelink income.

    Assessment of carer’s income

    Housing NSW allows a household to exceed the income limits at lease review when it is the income of a live-in carer that puts the total assessable household income above the limit applying at lease review. If this situation occurs, the carer’s income is not included as assessable income.

     

    This exception to income eligibility at lease review is made only if the live-in carer receives the Carer Payment or Carer Allowance from Centrelink. Providing the carer’s income includes the Carer Payment or Carer Allowance, Housing NSW does not include any part of the Carer’s income, including wages or other types of income, as assessable income.

    If the carer’s income is excluded from assessable income to allow an extension to a lease to be offered, the carer has no tenancy rights. This means that the carer may be required to leave the property if the tenant vacates the property for any reason.

    Expenses due to a disability, medical condition or permanent injury

    Approved members of a household who have an enduring (permanent, or likely to be permanent) disability, medical condition or permanent injury that results in significant ongoing financial costs may qualify for a disability allowance. The standard disability allowance raises the income limits at lease review for each approved household member with a demonstrated enduring disability, medical condition or injury. For more information see the policy Eligibility for Public Housing.

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    Exceptional expenses due to an enduring disability, medical condition or permanent injury

    Approved members of a household who have an enduring (permanent or likely to be permanent) disability, medical condition or permanent injury that results in significant and demonstrated ongoing financial costs that exceed the standard disability allowance may qualify for an exceptional disability allowance. The exceptional disability allowance raises the income limits at lease review for each approved household member with a demonstrated enduring disability, medical condition or permanent injury. For more information see the policy Eligibility for Public Housing.

    Tenant or approved household members expecting a baby

    A tenant or a household member who is expecting a baby should add their unborn child to the number of people in the household to determine the correct lease review income limits that apply to the household. The tenant must supply a medical certificate confirming the pregnancy.

    Tenants who own or part own property or real estate

    If the tenant or their partner own or part own a property that they could live in or sell, they are not eligible for a lease extension if they are:

    • able to live in the property; or
    • able to sell their share in the property for an amount that would exceed Housing NSW income and assets test.

    Updates to Income Eligibility Limits

    Housing NSW reviews and updates the income limits in line with the Consumer Price Index (CPI) movements to ensure the limits keep pace with the cost of living. These are reviewed annually and implemented at the beginning of each financial year. Once the new limits become available, where households at lease review are not eligible under the current income limits they will also be assessed under the new limits.

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    Exemptions

    In some circumstances Housing NSW may offer a 2 year lease extension to tenants who exceed the income limits at lease review and who demonstrate a severe and continuing need to stay in public housing.

    Assessment criteria for exemptions

    Tenants who exceed the income limits at lease review may be eligible for an exemption if they meet one of the criteria below:

    • protecting households with vulnerable children and young people who are likely to be placed at risk of abuse or neglect if they are required to move from public housing

    • protecting approved household members with a disability or ongoing medical condition who are likely to be placed at serious risk to health or harm if they moved from public housing due to a lack of access to appropriate and affordable private housing

    • supporting approved household members to maintain education, employment, training or apprenticeships. The tenant needs to demonstrate that the household member’s chance to gain qualifications by maintaining participation in a current education or training course or their ability to maintain employment would be jeopardised if they moved from public housing

    • preventing homelessness, severe overcrowding or other unsuitable housing situations due to the tenant’s inability to access alternative housing appropriate for their household size and needs if they move from public housing.

    To be eligible for an exemption a tenant must prove:

    • a need to live in their current location where appropriate private housing is unaffordable and inappropriate housing would expose the household to the risks outlined in the exemption criteria

    and

    • the household would still face this risk if living in an alternative location where they can afford appropriate private housing.

    For the purposes of a fixed term lease review, Housing NSW calculates affordability for private rental in the area where the households need to live at 50% (or less) of gross household income.

     

    This rental affordability test is used to determine whether a household with an income at or above the income limits at lease review can afford to rent a property in the area where they need to live. The rent will be considered affordable if the household will pay no more than 50% of their gross household income in rent.

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    Evidence requirements for exemptions

    Tenants must provide relevant information to demonstrate they meet one of the above exemption criteria. Housing NSW uses this information and other relevant information to determine if an exemption applies. With the tenant’s consent, Housing NSW may consult with any of the providers listed below in Table 9 to discuss the information provided.

    Table 9: Evidence requirements for exemptions

    Exemption relating to disability and ongoing medical condition

    A letter from one or more of the following support providers demonstrating how a tenant or other household member is likely to be placed at serious risk to health or harm if they moved from public housing:

    • a medical specialist
    • a health worker such as a community nurse, occupational therapist or physiotherapist
    • a psychiatrist, psychologist or mental health worker
    • support organisations such as the Home Care Service, Home Nursing Service, Aged Care Assessment Team (ACAT) or Service for the Treatment and Rehabilitation of Torture and Trauma Survivors (STARTTS).

    Exemption relating to vulnerable children or young people at risk

    A document demonstrating how a child or young person is likely to be placed at risk of abuse or neglect if the household moved from public housing. This could be one or more of the following:

    • a doctor or specialist report
    • a report from a human service professional such as social worker, caseworker, psychologist, psychiatrist or counsellor
    • a referral letter from a DoCS child protection worker requesting assistance from the Department of Housing
    • a letter from NSW Police Force

    or

    • a current Apprehended Violence Order (AVO) accompanied by one or more of the above documents.

    Exemption relating to maintaining education, employment, training or apprenticeship

    A letter from one or more of the following providers demonstrating how a tenant or household member’s ability to continue with employment, training or education would be jeopardised if they moved from public housing:

    • school principal
    • employer
    • university or TAFE Course coordinator
    • other employment or training professional.

    The support letter must also identify:

    • a need to access employment or an apprenticeship at least once a week on an ongoing basis

      or
    • a need to access special education or training facilities at least once a week for a period of more than 6 months from the lease end date.

    Affordability and accessibility of alternative housing

    The unavailability of affordable and accessible private rental accommodation can be substantiated by:

    • an internet search conducted by Housing NSW for properties for lease

    or

    • business cards and rental listings from real estate agents provided by the tenant, which state that the agency has no accommodation that is affordable or appropriate for the tenant

    and

    • a report from a health professional or advocate that states the reasons for needing a specific dwelling type where accessibility to private rental accommodation is an issue.

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    Change of Circumstances after lease review

    Where an adverse change in household circumstances occurs after lease review, Housing NSW may reconsider the decision not to offer an extension to a lease.

    Assessment criteria where there is a change of circumstances after lease review

    The assessment of change of circumstances after lease review only applies to tenants who are not eligible for an extension to their lease. Housing NSW would only do this in limited and exceptional situations. Tenants must demonstrate the following for the change of circumstances to be considered:

    • a permanent reduction in income that will result in the household meeting the income limits at lease review

      or

    • a risk to a household member emerges which is described outlined in the Assessment criteria for exemptions.

    Evidence requirements for a change of circumstance

    Tenants must provide relevant information before consideration will be given to a reassessment. Table 10 below provides a summary of the evidence a tenant needs to supply to be considered for a change of circumstance.

     

    If Housing NSW decides the tenant is eligible for an extension to their lease due to a change of circumstance, Housing NSW will offer a maximum 2 year lease extension in accommodation that is appropriate to the size and needs of the household.

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    Table 10: Evidence requirements for change of circumstances

    Circumstances

    Evidence required

    1. Change of circumstances relating to disability and ongoing medical condition

    See Table 9: Evidence requirements for exemptions

    1. Change of circumstances relating to vulnerable children or young people at risk

    See Table 9: Evidence requirements for exemptions

    1. Change of circumstances relating to maintaining education, employment, training or apprenticeship

    See Table 9: Evidence requirements for exemptions

    1. Change of circumstances relating to a loss of employment resulting in the household income decreasing below the income limits at lease review
    • All household members need to supply current income details
    • Household members must provide evidence of being in receipt of a Centrelink benefit when applying for a reassessment due to a loss of employment
    • Household members who have reduced earnings or a reduced number of hours of employment must provide a statement signed by their employer. The statement must confirm:
      • the number of hours worked
      • when this arrangement commenced
      • the regular weekly income and
      • the permanency of the arrangement.

    A copy of a current payslip is not sufficient.

    1. Other changes in circumstances including a change in household complement resulting in a decrease in income below the income limits at lease review

    Documentation from two or more of the following identifying the former household members’ new address:

    • supply authorities, such as gas, electricity, water and telephone providers
    • real estate agents
    • a Tenancy Agreement
    • a Drivers license
    • a Centrelink statement
    • a Statutory declaration confirming occupancy at an alternative location. This may be provided by the person with whom the former household member is now residing.
    1. Affordability and accessibility of alternative housing

    See Table 9: Evidence requirements for exemptions

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    Transition assistance for tenants who are not eligible for a lease extension

    Tenants who are not eligible for a lease extension may be eligible for transition assistance to help them make the move from public to private rental or home ownership.

    Transition assistance consists of:

    • A Transition Assistance Information Kit which assists tenants who are entering the private rental market or considering home ownership
    • A Statement of Satisfactory Tenancy, which indicates whether the tenant has satisfactorily maintained their tenancy in public housing. The statement can assist tenants to secure private rental accommodation. For more information on eligibility and how to apply for a statement see the policy Statements of Satisfactory Tenancy.
    • Rentstart Move, a private rent assistance product which offers up to 75% of the bond for private rental accommodation. The Department pays bond assistance directly to the Rental Bond Board for eligible clients. For more information on eligibility and how to apply for Rentstart Move see the policy Rentstart.

    Changing the length of the lease

    There are limited situations where Housing NSW will consider a change to an existing fixed term lease of 2 or 5 years. These are where the tenant provides new information or where the original decision is overturned as a result of a review or appeal.

    Housing NSW will not consider a change to a 3 or 6 month fixed term lease.

    Table 11 below provides a summary of the situations where Housing NSW will agree to change the length of a fixed term lease.

    Table 11: Situations where a length of lease can be changed

    After the commencement of a lease

    The following new information will be considered if it is provided by the tenant within 3 months of signing their initial lease:

    • confirmation of Aboriginality for an approved household member who was aged 45 years or over at the time of signing the lease; or
    • pension type or support program information that was unavailable at the time of signing the lease which changes the Housing NSW assessment of the length of lease needed.
    At Lease Review

    The following new information will be considered if it is provided by the tenant prior to the expiry of the current lease:

    • confirmation of Aboriginality for an approved household member who was aged 45 years or over at lease review

    or

    • pension type or support program information that was unavailable at lease review, which changes the Housing NSW assessment of the length of lease needed

    Following an internal review

    Following an internal review, a new tenant may request a formal review of the decision about the length of lease within 30 days of the start of the lease.

    A tenant may request a formal review of the decision about the length of lease extension prior to the issue of the Section 14A Notice.

    Following an external review by the Housing Appeals Committee (HAC)

    Following an external review, Housing NSW may accept the Housing Appeals Committee’s recommendation and change the decision on the length of lease to offer the applicant.

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    Housing NSW will not change the length of the lease because a new person has joined the household since the tenancy commenced. The needs of all approved household members are considered at the next lease review.

    Once a lease has been signed, the length can only be changed with the agreement of both the tenant and Housing NSW.

    If Housing NSW decides to change the length of a fixed term lease after it has been signed, it will either:

    • make a written offer to extend the lease, which the tenant must accept within 28 days of receipt. The client must accept the offer by written confirmation either in person at the local office or by post in certain circumstances

    or

    • ask the tenant to sign a new lease.

    When Housing NSW agrees to change the type and length of a lease, the decision about the property offered is not changed.

    Type and length of lease after a transfer or mutual exchange

    Tenants on a continuous lease, who were housed before 1 July 2005, retain their rights to a continuous tenancy agreement when relocating through a transfer or mutual exchange. For more information see Table 2: Assessment criteria for types and length of lease.

     

    Tenants on a fixed term lease will receive the remainder of their existing lease if they transfer or exchange before the lease review date.

     

    If the tenant is eligible for a lease extension, and the household relocates between the lease review date and the lease end date, they will be offered a lease extension of 2, 5 or 10 years.

    Tenants on fixed term leases who transfer or mutual exchange must sign a new tenancy agreement. For more information see the policy Transfers and the policy Mutual Exchange.

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    Type and length of lease after Tenancy Reinstatement approval

    Former tenants approved for Tenancy Reinstatement will be offered the type of lease they had when they left public housing. If the former tenant previously had a continuous lease, they will be offered a new continuous lease. If they had a fixed term lease, they will be offered a new 2, 5, or 10 year fixed term lease based on the assessment of their current household circumstances. See the policy Transfers.

    Type and length of lease after a succession of tenancy

    The type and length of lease offered to a spouse or partner succeeding a tenancy will be the same type of lease as that of the previous tenant.

    If the previous tenant had a continuous lease, the spouse or partner will be offered a continuous lease.

    If the previous tenant was on a fixed term lease the spouse or partner will be offered the remainder of that fixed term lease, unless the succession of tenancy occurs between the lease review date and the lease end date. In this case the spouse or partner will be offered a new fixed term lease based on an assessment of their current household circumstances.

    Other household member(s) who are approved for succession of tenancy will be offered a fixed term lease based on an assessment of their circumstances, regardless of the type and length of lease offered to the previous tenant.

    For more information see the policy Succession of Tenancy.

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    Appealing Decisions or Actions of Housing NSW

    If a client disagrees with a decision Housing NSW has made, they should first discuss their concerns with a Client Service Officer. The next step if they still believe Housing NSW made the wrong decision is to ask for a formal review of the decision. For information on how reviews work, the client can ask the Client Service Officer for a copy of the fact sheet 'Reviewing Decisions' (PDF file, 397KB), or read the policy Appeals and Review of Decisions.

     

    A client can appeal a decision made by Housing NSW in relation to:

    • eligibility for an extension to their lease
    • the type of lease offered
    • the length of lease offered

    A tenant cannot request a review of a decision in relation to the length of lease offered once a notice under Section 14A of the Residential Tenancies Act has been issued.

     

    If a tenant applies to Housing NSW for a review of the decision not to extend the lease, Housing NSW will review the decision in accordance with the policy Appeals and Review of Decisions and consider any representations made by the tenant.


    If a tenant formally requests a review of their eligibility to stay in public housing, the review process includes a referral to the Housing Appeals Committee (HAC), if the Department finds that its original decision is correct.

    Legislative Requirements

    • Residential Tenancies Act, 1987
    • Housing Act, 2001
    • Residential Tenancies Amendment (Social Housing) Act 2005

    Further Information

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    Table 12: Income limits at lease review from 1 July 2008 to 30 June 2009

    Type of household

    Maximum gross income (before tax)

    Weekly

    Annual

    First adult (single)

    $744

    $38,800

    Single + 1 child

    $894

    $46,600

    Single + 2 children

    $994

    $51,800

    Single + 3 children

    $1,094

    $57,000

    Single + 4 children

    $1,194

    $62,300

    Couple

    $938

    $48,900

    Couple + 1 child

    $1,088

    $56,700

    Couple + 2 children

    $1,188

    $61,900

    Couple + 3 children

    $1,288

    $67,200

    Couple + 4 children

    $1,388

    $72,400

    Household Members (regardless of relationship)

    Weekly

    Annual

    Single adult

    $744

    $38,800

    Each additional adult (18 years or over)

    Add $194

    Add $10,000

    First Child (under 18)

    Add $150

    Add $7,800

    Each additional child (under 18 years)

    Add $100

    Add $5,200

    Disability Allowance (per person)

    Add $75

    Add $3,900

    Exceptional Disability Allowance (per person)

    Add $150

    Add $7,800

     

     

    Table 13: Income limits at lease review to 30 June 2008

    Type of household

    Maximum gross income (before tax) including Family Tax Benefit if you have children

    Weekly

    Yearly (365 days)

    Single Person

    $688

    $35,874

    Single + 1 child

    $825

    $43,018

    Single + 2 children

    $919

    $47,919

    Single + 3 children

    $1,013

    $52,821

    Couple

    $869

    $45,312

    Couple + 1 child

    $1,006

    $52,456

    Couple + 2 children

    $1,100

    $57,357

    Couple + 3 children

    $1,194

    $62,259

    Each additional adult (18 years or over)

    Add $181 to the income limit

    Add $9,438

    Each additional child (under 18 years)

    Add $94

    Add $4,901

    Disability Allowance (per person)

    Add $70

    Add $3,650

    Exceptional Disability Allowance (per person)

    Add $140

    Add $7,300

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    Last modified: Tuesday, 13 October 2009
    Housing NSW © 2009
    Date last modified: Tuesday, 13 October 2009