What changed for landlords in England in 2026?
From 1 May 2026, the Renters’ Rights Act changes took effect for the private rented sector in England. Existing assured shorthold tenancies moved to assured periodic tenancies, and landlords can no longer use Section 21 “no-fault” possession. A landlord who genuinely intends to sell may instead be able to rely on the statutory possession ground for sale, subject to the legal conditions and notice process.
This matters because “I want to sell” and “the tenant must leave immediately” are not the same thing. A sale can proceed with a tenant in place, or a landlord can pursue possession lawfully before marketing to buyers who require vacant possession.
Two main routes when a tenant is still living in the property
| Route | Potential advantage | Main trade-off |
|---|---|---|
| Sell with tenants in situ | You may be able to sell without first obtaining vacant possession, and rental income can continue during the sale. | The likely buyer pool is more investor-focused, and buyers will scrutinise the tenancy and compliance records. |
| Seek vacant possession, then sell | A vacant property may appeal to a wider range of owner-occupier buyers as well as investors. | Obtaining possession can add time, process and uncertainty. It must be done lawfully. |
Route 1: selling with the tenants in place
A tenanted sale can be attractive where the property already produces rent and the buyer is another landlord or investor. The tenancy does not simply disappear because ownership changes.
In practice, a serious investor buyer is likely to want a clear picture of the tenancy and the property before committing. That may include the tenancy terms, rent position, deposit information, safety and compliance documents, maintenance history and other records relevant to the letting.
- the tenant is settled and the tenancy is functioning normally;
- you do not want to pursue possession before selling;
- the property is attractive as an investment at its current rent and condition;
- continuing rental income during the sale matters to you.
Route 2: seeking vacant possession before selling
If your target buyer is likely to want to live in the property, vacant possession can matter. But landlords in England must now work within the post-1 May 2026 possession framework.
The government’s current guidance confirms that Section 21 can no longer be used for notices served after 1 May 2026. The Renters’ Rights Act provides a mandatory Ground 1A where a landlord intends to sell, but the ground has conditions and cannot simply be treated as an instant exit mechanism.
Can you market the property while the tenant is still there?
You can decide to market a tenanted property, but you still need to respect the tenant’s rights and the tenancy terms. Viewings, access and marketing arrangements should be handled properly rather than assuming ownership gives unrestricted access to the tenant’s home.
For a landlord planning an exit, this is one reason to decide the sale route early. A tenanted investor sale and a vacant-possession residential sale involve different buyers, different evidence and often a different timeline.
What should you get ready before speaking to buyers?
A practical first step is to organise the information that affects value, saleability and risk. Depending on the property and tenancy, useful information can include:
- the tenancy agreement and current written tenancy information;
- current rent and payment history;
- deposit details where applicable;
- property condition and known repair issues;
- relevant gas, electrical and energy documentation;
- licensing or local authority requirements where applicable;
- mortgage position and any lender restrictions;
- your preferred sale timeframe and whether vacant possession is essential.
What if the property has arrears, repairs or compliance problems?
Those issues do not necessarily mean the property cannot be sold, but they can materially change which route is realistic. For example, an investor may price repair work or management risk into an offer, while possession or compliance problems may affect timing.
It is usually better to identify these issues early rather than presenting the property as a straightforward sale and discovering later that the tenancy or documentation changes the deal.
Do you have to evict the tenant before selling?
No. A property can be sold with a tenant in place. Whether that is the better route depends on the tenancy, the property, the likely buyer pool and your priorities.
If you decide you need vacant possession, follow current England-specific legal guidance and obtain qualified advice where necessary. The legal framework changed materially in May 2026, so older landlord articles about simply serving a Section 21 notice may now be outdated.
Which route is likely to suit you?
- Is the tenant staying, or is vacant possession important to your exit?
- How quickly do you actually want to sell?
- Is the property attractive to an investor in its current condition and at its current rent?
- Is your priority maximum market exposure, simplicity, certainty, speed — or a balance of these?
You do not need to choose a route before asking for options. The useful first step is to describe the property, tenancy status, condition and timeframe so the realistic routes can be compared.
Thinking about selling a tenanted property?
Tell us about the property and tenancy situation. We’ll use those facts to help narrow the selling routes worth comparing.
Official sources
This page was reviewed against current GOV.UK guidance for England, including the Renters’ Rights Act landlord overview, the post-1 May 2026 repossession guidance, the official grounds-for-possession guidance and GOV.UK’s selling-a-home guidance.