The rental sector is entering a new legal landscape. The Renters’ Rights reforms introduce significant changes to how landlords regain possession of their property, particularly when they plan to sell.
One of the biggest changes is the abolition of Section 21 “no-fault” evictions. Landlords will no longer be able to end a tenancy without a legal reason. Instead, they must rely on specific possession grounds under Section 8.
For landlords planning to sell a property with tenants living in it, this means following a new process and serving notice correctly. Understanding the rules early can help avoid delays, legal challenges, or complications during a sale.
Related: Pet-friendly tenancies: How the Renters’ Rights Act 2025 changes the rules for landlords
Can You Sell a Property With Tenants in Place?
Yes, landlords can still sell a property with tenants living there. In fact, many rental properties are sold with tenants in situ, particularly when the buyer is another landlord looking for an investment property with immediate rental income.
However, if a buyer requires vacant possession, the landlord must serve notice using the correct legal ground and provide the required notice period before starting possession proceedings.
The New Ground for Selling a Property
Under the Renters’ Rights reforms, landlords must rely on Ground 1A – intention to sell when seeking possession to sell their property.
This ground allows landlords to regain possession if they genuinely intend to place the property on the market. Unlike Section 21, the landlord must show that selling the property is the genuine reason for ending the tenancy.
Importantly, landlords cannot use this ground within the first 12 months of a tenancy, giving tenants greater security during the early stages of their agreement.
Landlord Checklist Before Serving Notice
Before serving notice under the selling ground, landlords should make sure they meet the basic legal requirements:
- The tenancy has been in place for at least 12 months
- The correct Section 8 notice form is used
- The notice clearly states Ground 1A – intention to sell
- A minimum four-month notice period is given to the tenant
- Evidence of intention to sell is available if required
If the tenant does not leave after the notice period expires, landlords can then apply to the court for possession.
Compliance Checks Before Serving Notice
Courts may refuse possession claims if landlords have not met their legal responsibilities. Before serving notice, landlords should confirm that key documents and obligations have been provided to the tenant.
These include a valid Gas Safety Certificate, an Energy Performance Certificate (EPC), and confirmation that the tenant’s deposit has been correctly protected. Ensuring all compliance steps have been completed helps prevent delays if the case reaches court.
Related: Why Getting Your Rental Price Right Matters More Than Ever in 2026
Is It Better to Sell With Tenants Still Living in the Property?
In some cases, serving notice may not be necessary at all. Selling with tenants still living in the property can appeal to investors and buy-to-let landlords who want immediate rental income.
This approach can help reduce void periods and allow landlords to continue receiving rent until the property sale is completed. However, it may reduce the pool of potential buyers if owner-occupiers are the main target market.
Key Things Landlords Should Plan Before Selling
When preparing to sell a rental property with tenants, it helps to think ahead about the wider sales process:
- Whether the property will be marketed to investors or owner-occupiers
- How the notice period aligns with the expected sale timeline
- Whether keeping the tenant in place could make the property more attractive to buyers
- How the property will be marketed while tenants are living there
Planning these factors early can make the process smoother for both landlords and tenants.
How Hunters Can Support Landlords
Selling a rental property has become more complex under the new legislation, but with the right guidance, it can still be a straightforward process.
Hunters’ local experts can help landlords decide whether to sell with tenants in place, navigate the correct possession grounds, and coordinate the timing of notice periods with the property sale. With professional support, landlords can move forward confidently while remaining fully compliant with the new rules.
If you’re considering selling your rental property, contact your local Hunters branch today for expert advice and support with every step of the process.
