Mutual Exchange

Tenants of self-contained accommodation have a right to exchange their property with that of another tenant in the area or location of their choice. There are certain limitations on this, but in general terms, tenants of Housing Associations and Local Authorities have the right to exchange tenancies. Permission to exchange will be refused where the dwelling house is subject to any planning restriction and the person requesting the transfer does not comply with such restriction e.g. Local connection to village. Download a copy of the mutual exchange application form.

The Right to Exchange

Only tenants who have a "Secure" tenancy or an "Assured" tenancy have the right to exchange. Most tenants of Housing Associations and Local Authorities will have these types of tenancies. The person you want to exchange with must also be a "Secure" or an "Assured" tenant. It is important to establish that they also have the right to exchange.

Finding the Right Person to Exchange With

Most local Councils and Housing Associations Housing Departments will have lists of tenants wishing to exchange. If you would like to be considered for an exchange, you should complete an application form and return it to our Head Office so it can be placed on the Mutual Exchange Register.

Approaching Persons Listed on a Mutual Exchange Register

If you wish to approach any person listed on a Mutual Exchange Register, it is advisable to contact them before your visit, either by telephone or by letter giving a telephone number on which you can be contacted. This will avoid a wasted journey and you will be able to ascertain at an early stage whether or not the other party is interested in carrying out a Mutual Exchange with you.

You should also find out whether they have an Assured tenancy or a Secure tenancy. We suggest that you discuss details of rent, rates, service charge and bills. The 1988 Housing Act introduced Assured tenancies and these differ in several important ways from Secure tenancies. The type of tenancy will affect the level of rent which is charged and will also dictate whether the tenant has the Right to Buy their home or not. If you wish to know more about the implications of such an exchange, please contact the head office on 01223 576756.

Following the Correct Procedure

Once you have found a tenant who wishes to mutually exchange with you, the following steps should be taken:-

a) Both you and the person with whom you wish to exchange will need to get permission to proceed. Please write to the Society explaining that you wish to exercise your right to exchange giving the name and address of the person with whom you wish to exchange.

b) On receipt of this letter the Society will write to the landlord of the other tenant asking for a report on their tenancy. We will also ask the other tenant to complete an application form so that we are aware of all their circumstances and decide whether they are eligible for a Mutual Exchange.

c) Once the Society has received the relevant information it will notify both tenants of the decision taken.

d) The tenants must give the landlords written notice of the date on which they propose to move so that all the relevant legal documents may be signed in advance.

e) Granta Housing Society will not repair or maintain those defects or alterations which are found at your new property which are the tenants responsibility, as highlighted in your tenancy agreement. As such, we advise you to ensure that you are happy with the condition of your new property before the mutual exchange is completed.

On no account should tenants move without the prior written consent of both landlords or before the legal documents have been signed. Such a move could result in both tenants losing their security of tenure.

Grounds for Refusing Permission to Exchange

The Society has the right to refuse permission to exchange tenancies on one of the grounds set out below. If you feel that the wrong decision has been made you have a right to appeal to the Resident Involvement Committee. You should write to the Resident Involvement Committee, at our Head Office address, setting out the reasons why you feel that a wrong decision has been made. You will be advised of the result of your appeal within 7 working days of the date of the Resident Involvement Committee meeting.

The possible grounds for refusing permission to exchange are as follows:-

1. Either the outgoing or incoming tenant is or will be obliged to give up the tenancy because of a Court Order.

2. Proceedings for possession have commenced against either the incoming or outgoing tenant on one of the Grounds for possession numbers 1 to 6 under Schedule 1 of the 1985 Housing Act or grounds for possession numbers 3, 4, 7, 8, 10, 11, 12, 13, 14, 15, 16 under Schedule 2 of the 1988 Housing Act.

3. The accommodation is substantially larger than that which can be reasonably- required by the incoming tenant. (Granta will normally allow exchanges that result in tenants having one extra bedroom but no more than this).

4. The accommodation is not big enough to meet the needs of the incoming tenant.

5. The property is part of a group of other buildings that are not normally used for residential purposes and was let to a tenant who was in the employment of Granta. (This mainly affects Local Authorities and has little relevance for Granta tenants).

6. The Landlord is a charity and the occupation of the dwelling by the incoming tenant would conflict with the aims of the charity. (Granta is a non-charitable Housing Association).

7. The accommodation has been designed or adapted for use by a physically disabled person and the incoming tenant or member of their household does not need such features.

8. Where the Landlord is a Housing Association which lets accommodation only for occupation by persons with special needs and as a result of the proposed exchange there would no longer be such a person residing in the dwelling.

9. The dwelling is one of a group which the Landlord lets for occupation by person with special needs and a social service or special facility is provided nearby and as a result of the proposed exchange there would no longer be such a person residing in the dwelling.

For further information please contact Granta Housing Society on 01223 576756.

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