Propertymark issues guidance on selling tenanted properties under the Renters' Rights Act 2025

Propertymark published guidance on 5 and 12 July 2026 addressing sales-agent and letting-agent obligations when a property is tenanted under the Renters' Rights Act 2025. The two guides — one aimed at sales agents marketing tenanted property, the other at letting agents managing the landlord's side — set out suggested approaches for handling possession processes, tenant disclosure, and landlord notification duties now that Section 21 'no-fault' eviction has been abolished from 1 May 2026.

What changed

With Section 21 abolished under the Renters' Rights Act 2025, landlords can no longer issue a notice guaranteeing vacant possession within a fixed timescale. Sales of tenanted properties have fallen sharply since 1 May 2026, as buyers are unwilling to wait for uncertain possession timelines or to purchase with sitting tenants in place. The Propertymark guidance published on 12 July 2026 explains how agents should now handle landlord instructions to sell where a tenancy is in place, including which statutory grounds for possession may apply and what notice periods the landlord must observe. A separate guide published on 5 July 2026 addresses sales agents marketing tenanted property and the disclosure obligations that now apply during the sales process.

Both guides cover landlord duties to notify tenants in writing when a sale is proposed, the possession grounds available under Schedule 2 of the Housing Act 1988 (as amended by the Renters' Rights Act 2025), and the tribunal process landlords must follow if they wish to regain possession. The 12 July guidance includes specific notes on Ground 1A (selling with vacant possession), which was introduced under the Renters' Rights Act to replace the abolished Section 21 route. Agents may wish to verify the notice periods and tribunal requirements for Ground 1A before advising landlord clients on sale timescales.

Who is affected

The guidance affects all letting agents and dual-function agents managing tenancies that began before or after 1 May 2026 where the landlord now wishes to sell. It also applies to sales agents marketing tenanted residential property, particularly where possession notices have been served or where the vendor expects vacant possession before completion. Agents handling instructions from landlords unfamiliar with the new regime may wish to review the Propertymark guidance to confirm their understanding of the revised possession process and the disclosure requirements that now apply when marketing a tenanted property.

Suggested approaches for agents

One suggested approach is to review the Propertymark guidance published on 12 July 2026 and confirm with your compliance team that landlords instructing a sale are aware they must notify tenants in writing and that Section 21 is no longer available from 1 May 2026. Agents may also wish to check the guidance notes on Ground 1A (selling with vacant possession) to confirm the notice periods and tribunal process your landlord clients must follow.

Sales agents may wish to verify with their compliance team that vendors understand landlords can no longer serve Section 21 notices and must use Section 8 grounds for possession. One approach is to check that your sales particulars template prompts disclosure of any possession notice already served and the ground relied upon, so that buyers are aware of the possession route and its likely timescale. Agents may also wish to confirm with their training lead that sales negotiators understand the tenant information sheet requirement under Schedule 1 of the Renters' Rights Act 2025, which all tenants must have received by 31 May 2026.

Propertymark's guidance also suggests that agents compare their current landlord instruction and tenant communication templates against the examples provided in the guides to identify any gaps in Renters' Rights Act compliance. Given the sharp fall in tenanted sales reported in May 2026, agents may wish to brief vendor landlords on the likely impact on sale price and timescale when a sitting tenant cannot be removed before completion.

Verify before acting

WatchdogHQ is an information and awareness service, not legal advice and not a solicitor. Readers are strongly encouraged to verify all details — including possession grounds, notice periods, and tribunal procedures — against the Propertymark guidance, the Renters' Rights Act 2025, and GOV.UK materials before taking action. For case-specific advice, consult a solicitor or your professional redress scheme.