renters' rights act

Navigating the changes with confidence

renters' rights act

The most significant changes

Abolition of Section 21 (“No-Fault Evictions”)

Landlords will no longer be able to evict tenants without giving a legal reason. Instead, they must rely on specific legal grounds such as rent arrears, selling the property or moving back in.

Impact:
This reduces flexibility and means landlords must follow stricter legal processes, often taking longer to regain possession. Four months notice is required if you are selling or moving back in.


How Taylor Michael support this:
We provide dedicated property managers who guide landlords through compliant possession processes and ensure all documentation and legal grounds are correctly handled to reduce risk and delays.

All Tenancies Become Periodic
(No Fixed-Term Contracts)

All assured shorthold tenancies are replaced with rolling agreements.

Impact:
Landlords lose long-term certainty, making income forecasting and tenancy stability less predictable.

How Taylor Michael support this:
We focus on long-term tenant management and retention strategies, helping landlords maintain stable tenancies even without fixed-term contracts.

Rent Increases Limited to Once Per Year

Rent can only be increased annually, with proper notice and the option for tenants to challenge increases.

Impact:
Landlords have less flexibility to respond quickly to market changes.

How Taylor Michael support this:
We provide market-led pricing advice and rental valuations, ensuring landlords set the right rent level from the start to avoid needing frequent increases.

Ban on Rental Bidding Wars

Landlords must advertise a fixed rent and cannot accept higher offers from competing tenants.

Impact:
Limits the ability to maximise rental income in high-demand markets.

How Taylor Michael support this:
We use professional marketing and high-quality photography to attract strong applicants at the advertised price, maximising value without relying on bidding.

Cap on Rent in Advance (Maximum One Month)

Restrictions limit how much rent landlords can take upfront.

Impact:
Reduces upfront financial security, particularly for higher-risk tenants. This also decreases the amount of tenants potentially interested with international students relying on rent in advance.

How Taylor Michael support this:
We strengthen tenant referencing and guarantor processes, ensuring landlords still have financial protection through affordability checks and guarantors. We also work with guarantor services so can still rent to international students and tenants who may not pass references.

Right for Tenants to Request Pets

Tenants can request pets, and landlords cannot unreasonably refuse.

Impact:
Increased wear and tear risk and potential maintenance costs.

How Taylor Michael support this:
They help landlords implement clear tenancy conditions and ongoing property management, ensuring properties are maintained and risks are controlled.

Section 4A – Student Tenancy Ground for Possession

A new ground (Section 4A) allows landlords of genuine student properties to regain possession in line with the academic year cycle.

Impact:
This is a key protection for student landlords, allowing them to still operate on a yearly cycle despite the removal of fixed-term tenancies. However, it requires strict criteria (e.g. proof the property is used for students) and correct notice procedures.

How Taylor Michael support this:
We assist with correct tenancy structuring, marketing to student tenants, and ensuring compliance with the new possession grounds, helping landlords maintain reliable academic-year letting cycles without falling foul of the new rules.

Rent Arrears Threshold Increased (Three Months Before Notice)

Under the new rules, landlords must typically wait until tenants are at least three months in arrears before serving notice under mandatory rent arrears grounds.

Impact:

This increases financial risk for landlords, as they may experience a longer period of lost income before being able to take back possession, potentially affecting cash flow and mortgage commitments.

How Taylor Michael support this:

We offer rent protection and guarantee services, giving landlords financial security by covering missed rental payments and supporting with the legal process, helping to reduce the risk associated with longer arrears periods.

Application of Awaab’s Law to the Private Rented Sector

The principles of Awaab’s Law are being extended to the private rented sector, requiring landlords to address serious hazards (such as damp and mould) within strict timeframes.

Impact:
Landlords face much tighter compliance obligations around property condition, with potential legal consequences if issues are not resolved quickly. This increases the need for proactive maintenance and faster response times.

How Taylor Michael support this:
We provide proactive property management and maintenance coordination, ensuring issues like damp and mould are identified and resolved quickly, helping landlords stay compliant and avoid penalties.

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