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Selling a house with tenants: your options in England

Selling a house with tenants in England after Section 21 ended on 1 May 2026: sell with the tenant in place, or take vacant possession on Ground 1A.

  • 3 min read
  • Last reviewed 30 October 2026
  • By Your Property Check team

Key answer

Selling a house with tenants means choosing between selling with the tenant in place, usually to an investor, or taking vacant possession. Since 1 May 2026 in England, Section 21 can no longer be used. A landlord who wants to sell must use a possession ground, with at least 4 months' notice and a court order if the tenant stays.

Part 1 of 7

Two ways to sell

You can sell with the tenant still living there (a sitting tenant, sometimes called selling "tenanted" or "in situ"), or you can get vacant possession first and then sell. This guide covers England. We checked the rules on GOV.UK on 30 October 2026. Rules in Wales, Scotland and Northern Ireland differ.

Part 2 of 7

What changed on 1 May 2026

The Renters' Rights Bill received Royal Assent on 27 October 2025. GOV.UK says that from 1 May 2026 landlords cannot use Section 21 of the Housing Act 1988 to seek possession, so there is no more "no fault" eviction to clear a property for sale.

GOV.UK also says that on the same date existing assured shorthold tenancies became assured periodic tenancies. These roll on, for example monthly, and agreements cannot have an end date. A tenancy ends only if the tenant gives notice, the landlord uses a legal ground, or a court makes a possession order.

Part 3 of 7

Option 1: sell with the tenant in place

The sale goes ahead and the tenant stays. The buyer is usually an investor, because few people buying a home to live in can take a property with someone in it. Because tenants are not forced out, the main questions are practical:

  • Can you show a clear rent history and a copy of the tenancy agreement?
  • Is the deposit protected correctly? GOV.UK says a court will only grant a possession order if it was.
  • Can viewings be arranged with the tenant's cooperation?

GOV.UK's landlord overview does not set separate rules for a sale with tenants in place, and we found none on the pages we read. Ask your conveyancer how the tenancy and the deposit are handled on completion. Our tenanted sale tool helps you think through this route, and our guide to selling a tenanted property compares it with the others.

Part 4 of 7

Option 2: take vacant possession first

To clear the property you need a legal reason, called a ground. For a sale that is Ground 1A. GOV.UK sets out these points:

  • You must give 4 months' notice before you can apply to court for a possession order.
  • The ground cannot be used until 12 months after the tenancy started. You can serve notice earlier, but the notice cannot expire inside those first 12 months.
  • Notices are given under Section 8, using Form 3A.
  • At a hearing you may need evidence that you intend to sell, which could include proof that you have instructed an estate agent.
  • The ground cannot be used if the tenancy was created before 1 May 2026 and was not an assured shorthold tenancy.

Part 5 of 7

What tenants can do

GOV.UK's guide for tenants says a landlord cannot take back possession without a court order, and a tenant can stay until the court makes one and, if needed, a bailiff's warrant is issued. The landlord must apply to court within 12 months of serving the notice or the notice expires. A tenant who wants to leave must give 2 months' written notice, unless the landlord agrees to less in writing. Do not change the locks or pressure a tenant to leave. That is not a lawful route.

Part 6 of 7

What buyers and lenders look at

We found no GOV.UK page that sets out what lenders require for a tenanted purchase, so treat this as a list of questions, not rules. A buyer who needs a mortgage should ask their lender early whether the loan type allows a tenanted property. Buyers and their solicitors will usually ask for the tenancy agreement, proof the deposit is protected, the current rent and the rent history. Having these ready may help avoid weeks of delay.

Part 7 of 7

Which route fits?

Selling with the tenant in place avoids waiting for the notice period and any court hearing. Vacant possession opens the sale to buyers who want to live in the home, but takes at least 4 months of notice, and longer if the tenant stays and the case goes to court. We do not claim a price difference between the routes, because no official source gives one. Get a written valuation of the property as it stands and compare it with an investor offer. Our free house value check shows sold prices near the property to start from.

Check your own mortgage terms before you decide, and read the landlord section of our sell-fast pages if you want a cash buyer's view. This page is general information, not legal advice.

Our take

Choose the route before you serve any notice

Since 1 May 2026 in England, Section 21 can no longer be used, so a landlord must use a possession ground with at least 4 months' notice. Selling with the tenant in place avoids that wait, while vacant possession opens the sale to owner occupiers. We think the common mistake is to serve notice before comparing both routes on value.

Our free house value check gives an honest range from real HM Land Registry sold prices in your postcode, so you can set a written valuation against any investor offer. The sale method comparison then weighs auction, estate agent and cash buyer routes on net proceeds and timescale.

Our opinion, drawn from the facts on this page: not advice and not a forecast. We earn from OfferCheck reports and from introducing sellers to cash buyers, so weigh it with that in mind (see our disclosure). We are not authorised or regulated by the FCA.

Questions, answered

Frequently asked questions

Can you sell a house with tenants in it?
Yes. You can sell with the tenant in place, usually to an investor. The tenant does not have to leave for the sale to go ahead. Ask your conveyancer how the tenancy and deposit are handled, and give buyers the agreement and rent history.
Can a landlord still use Section 21 to sell?
No. GOV.UK says that from 1 May 2026 landlords in England cannot use Section 21 to seek possession. A landlord who wants to sell must use a legal ground, with a court order if the tenant does not leave.
How much notice must a landlord give to sell?
GOV.UK says Ground 1A, for selling, needs 4 months' notice before applying to court. It cannot be used until 12 months after the tenancy started, and the notice cannot expire during that first year.
Do tenants have to allow viewings?
We found no GOV.UK rule that sets this out. In practice viewings depend on agreement with the tenant. Ask in writing, give reasonable notice and check the tenancy agreement and any legal advice before you list.
Is a tenanted house harder to sell?
The buyer pool is narrower, because many buyers want a home to live in. We do not quote a discount, since no official source gives one. A written valuation and an investor offer will show the real gap.