What happens if you buy a house with a sitting tenant?
The tenancy carries on after the sale and you become the landlord. In England, section 21 ended on 1 May 2026.
To move in, you give four months' notice on Ground 1, with a date at least 12 months after the current tenancy began.
In Wales the landlord's notice is six months. In both, a standard residential mortgage normally needs the home empty at completion, a tenant generally lowers the value, and a regulated tenancy can last for life.
What a sitting tenant means for you
A sale does not end a tenancy. On completion you take over as landlord, with all the landlord's legal duties, and the tenant can stay until the tenancy is lawfully ended.
In England, the Renters' Rights Act 2025 changed the rules on 1 May 2026. Section 21 “no fault” notices ended, and most private tenancies, new and existing, became assured periodic tenancies with no end date.
A section 21 notice served before 1 May 2026 can only lead to possession if the court claim was started by 31 July 2026, or earlier if the notice ran out first. If the seller says one is in progress, ask to see the claim.
Sources: GOV.UK, protections in force, roadmap, notices served before 1 May 2026.
Find out what kind of tenancy it is
The type of tenancy decides how, and whether, you can get the home back. Ask for the written agreement, the date the current tenancy began and the date the tenant first moved in.
| Tenancy | Usually created | What it means for you |
|---|---|---|
| Assured periodic tenancy (England) | Most private lets, including former assured shorthold tenancies, since 1 May 2026 | A landlord can seek possession on a ground, such as moving in (Ground 1) or selling (Ground 1A) |
| Assured tenancy that was never a shorthold (England) | Before 1 May 2026 | GOV.UK says a landlord cannot use the selling ground, Ground 1A |
| Regulated tenancy | Before 15 January 1989 | The rent can be capped at a registered fair rent, and the tenant has strong security. The new grounds do not apply |
| Occupation contract (Wales) | From 1 December 2022, including tenancies converted on that date | Ended under the Renting Homes (Wales) Act 2016, usually with six months' notice |
Sources: GOV.UK grounds guidance, commencement regulations, GOV.UK, Regulated tenancies, gov.wales.
Getting the home back in England
Ground 1 lets a landlord seek possession to live in the home, or for a spouse or partner, or a close relative such as a parent, child, grandchild or sibling. Ground 1A is for a landlord who intends to sell.
For both, the notice period is four months, and the date in the notice must be at least a year after the current tenancy began. Both are mandatory grounds, so the court must order possession if the ground is proved.
The 12 months count from the start of the current tenancy, which may be long before you buy. Check the latest agreement, because a recent renewal may have started a new tenancy.
For example, if the current tenancy began two years ago and you serve notice on the day you complete, the date in it can be four months later.
If the tenant has not left by then, you must apply to the court for a possession order. Do not plan your own move around the date in the notice.
On our reading of Schedule 2, the new Ground 1 no longer excludes a landlord who bought the home with the tenant in place, as the old version did.
GOV.UK says councils can fine landlords who abuse these grounds up to £7,000 for a first or minor breach, and up to £40,000 for serious or repeated breaches.
After relying on Ground 1 or 1A, a landlord must not, with limited exceptions, let or advertise the home to let from the day the notice is served until 12 months after the date in it. With four months' notice, that is at least 16 months.
Sources: Schedule 2, section 8, section 16E, section 16M, GOV.UK grounds guidance, GOV.UK, Guide to the Renters' Rights Act.
If you are buying to live in it
There are two routes. The seller can get the home empty before you complete, using Ground 1A, or you can buy with the tenant in place and give notice on Ground 1 once you own it.
Our view: if you need the home empty, make vacant possession a term of the contract and do not exchange until the tenant has moved out.
Buying with the tenant in place usually rules out a standard residential mortgage (see below), and you will have a landlord's duties until the tenant leaves.
If the seller emptied the home using Ground 1A and you plan to let it, ask your conveyancer how the 12-month letting ban applies. We have not found official guidance on how it affects a buyer.
Your duties as the new landlord
From completion, the legal duties are yours. These are the main ones, and the papers to get from the seller before you exchange.
| Duty | What the rule says | Ask the seller for |
|---|---|---|
| Tell the tenant | In England, give written notice of the sale with your name and address within two months, or by the next rent day if that is later | The tenant's contact details and rent dates |
| Deposit | Must be protected in a government-approved scheme within 30 days of being paid | The scheme certificate, and how the deposit will pass to you |
| Gas safety | A Gas Safe registered engineer checks the gas appliances every 12 months, and the tenant gets the record within 28 days | The latest gas safety record |
| Electrics | Inspected and tested at least every five years, in England and in Wales | The latest electrical installation condition report |
| Energy rating | At least E to keep letting, unless a valid exemption is registered | The energy certificate and any exemption |
| Licence | Larger shared houses need a licence everywhere, and some councils also license smaller ones or all private lets in an area. A licence cannot be transferred to a new owner | The licence, and the council's answer on whether you need your own |
| Information sheet (England) | Landlords had to give existing tenants the government's information sheet by 31 May 2026 | Proof that it was given |
Sources: section 3, GOV.UK, deposits, HSE, GOV.UK, electrical safety, gov.wales, GOV.UK, energy standard, Housing Act 2004, s.55, s.68, s.91, roadmap.
Ask how the deposit will reach you. The Deposit Protection Service, for example, lets a landlord transfer a deposit to a new landlord through their online account. If it is not protected, a court cannot order possession on most grounds.
If the home is rated F or G, a landlord who buys it with a tenant in place gets six months before the ban on continuing to let applies. This exemption must be registered.
The government plans to raise the minimum rating for lettings to C by 1 October 2030, but that was not law on 19 October 2026. See what an EPC rating of D means.
You inherit the rent. In England a landlord can raise it only once a year, with a section 13 notice giving at least two months' notice, and the tenant can challenge it at the First-tier Tribunal.
Sources: Deposit Protection Service, GOV.UK grounds guidance, regulation 33, government response, roadmap, GOV.UK, 9 September 2026.
What is in force in England, and what is not yet
The Renters' Rights Act is coming into force in stages. This is the position we found on 19 October 2026.
| Change | Position |
|---|---|
| Section 21 abolished, tenancies periodic | In force since 1 May 2026 |
| Four months' notice to move in or sell, not in the first 12 months | In force since 1 May 2026 |
| Rent rises once a year, by section 13 notice | In force since 1 May 2026 |
| Private Rented Sector Database | Not yet. Registration opens in the West Midlands on 15 December 2026, then region by region. Deadlines run from 14 March 2027 in the West Midlands to 14 November 2027 in the South West. The fee is £65 a property each year |
| Landlord ombudsman | Not yet. The government expects landlords to have to join in 2028 |
| Awaab's Law on damp and mould for private lets | Not yet. The government is consulting until 18 December 2026 |
| Decent Homes Standard for private lets | Not yet. Planned from 2035 |
| Minimum energy rating of C for lettings | Not law. Planned for 1 October 2030 |
Sources: commencement regulations, Housing Hub, GOV.UK, 9 September 2026, GOV.UK, Awaab's Law consultation, government response.
The database will cover landlords of assured and regulated tenancies. Each region gets three months to register once it opens, and the deadline is set by where the home is.
Mortgages
A residential mortgage is for a home you will live in. The UK Finance Lenders' Handbook, the standard instructions lenders give conveyancers, makes vacant possession a term of the loan unless the lender's own instructions say otherwise.
So if the tenant will still be there at completion, a standard residential mortgage is unlikely to work. Tell your broker about the tenant before you apply.
Buy-to-let lenders expect a tenant, but check what kind. TSB, for example, requires an assured periodic tenancy in England or an occupation contract in Wales, and does not accept Rent Act protected tenants.
Sources: UK Finance Lenders' Handbook, Part 1, TSB Intermediary.
What a tenant does to the price
HMRC's Capital Gains Manual says that, in general, land held subject to a tenancy is less valuable than land held with vacant possession. We have not found an official figure for the size of the gap, which depends on the tenancy.
Ask the agent how the asking price reflects the tenant, and ask your valuer for two figures: with the tenant in place, and with vacant possession.
Compare the price with recent sales of similar homes nearby using our sold prices tool, then work out how much to offer.
Source: HMRC, CG74200.
Regulated tenancies
Most private lettings that began before 15 January 1989 are regulated tenancies under the Rent Act 1977. If the tenant has lived there since before that date, check which kind of tenancy it is before you offer.
A regulated tenant has strong security. The landlord needs a court order on one of the Rent Act grounds, and the new grounds for moving in or selling do not apply.
The Rent Act ground for a landlord who needs the home for themselves or family is discretionary, and GOV.UK says it does not normally apply if the tenant was already there when the landlord bought.
When the tenant dies, a spouse or partner who lived there can take over the regulated tenancy. If there is none, a family member who lived with the tenant for at least two years can take on an assured tenancy instead.
The rent may be capped. Once a fair rent is registered, it is the most the landlord can charge until it is reviewed or cancelled. You can search the register of fair rents.
In Wales, regulated tenancies did not become occupation contracts, and rent officers register fair rents there too.
Sources: GOV.UK, Regulated tenancies, Renting Homes (Wales) Act 2016, Schedule 2, gov.wales, Fair rents.
If the home is in Wales
The Renters' Rights Act changes above apply in England. In Wales, tenancies became occupation contracts under the Renting Homes (Wales) Act 2016 on 1 December 2022.
To end a periodic standard contract without giving a reason, the landlord's notice must give at least six months, and it cannot be given in the first six months of occupation. It generally cannot end a fixed term contract early.
A landlord who is not registered with Rent Smart Wales, or licensed where needed, cannot give this notice. When you become the landlord, you must tell the contract-holder, with an address for documents, within 14 days.
Deposits must be protected in the same way as in England. The electrical condition report must be no more than five years old, and the contract-holder must have a copy.
Sources: gov.wales, Renting Homes (Wales) Act 2016, ss.173 to 175, s.39, Housing (Wales) Act 2014, s.44.
Ask the seller and agent
- What type of tenancy is it, when did the current tenancy start, and can I see the agreement?
- What is the rent, when did it last go up, and are there any arrears?
- Which scheme holds the deposit, and can I see the certificate?
- Has either side served a notice, and is there a court claim?
- Does the council require a licence for this home, and is there one?
- Can I see the gas safety record, electrical report and energy certificate?
- Did the tenant get the government's information sheet by 31 May 2026?
Before you offer, run through what to check before making an offer, and take our questions to ask the estate agent to the viewing.
Related questions
Does a tenancy end when the house is sold?
No. The tenancy carries on and the buyer becomes the landlord.
The new landlord must tell the tenant in writing, with an address: in Wales within 14 days, and in England by the next rent day or within two months, whichever is later.
Can I evict a sitting tenant so I can move in?
In England, you can give four months' notice on Ground 1 if you, your partner or a close relative will live there, and the date in the notice is at least 12 months after the current tenancy began.
If the tenant stays, you need a court order. In Wales, the landlord's notice must give at least six months.
Can I put the rent up after I buy?
In England, only once a year, with a section 13 notice giving at least two months' notice, and the tenant can challenge it at the First-tier Tribunal. On a regulated tenancy, a registered fair rent is the most you can charge.
Does the tenant's deposit come to me?
It should pass to you at completion. Agree how through your conveyancers, and get written confirmation from the deposit scheme that you are now the landlord on record.
Sources
- GOV.UK, Implementing the Renters' Rights Act 2025: our roadmap (13 November 2025)
- GOV.UK, Historic protections for renters in action across England (30 April 2026)
- GOV.UK, Grounds for possession: guidance for landlords and letting agents (updated 1 May 2026)
- GOV.UK, Repossessing your privately rented property after 1 May 2026
- GOV.UK, Giving notice of possession to tenants before 1 May 2026
- GOV.UK, Guide to the Renters' Rights Act
- legislation.gov.uk, Renters' Rights Act 2025 (Commencement No. 2 and Transitional and Saving Provisions) Regulations 2026
- legislation.gov.uk, Housing Act 1988, Schedule 2
- legislation.gov.uk, Housing Act 1988, section 8
- legislation.gov.uk, Housing Act 1988, section 16E
- legislation.gov.uk, Housing Act 1988, section 16M
- legislation.gov.uk, Landlord and Tenant Act 1985, section 3
- GOV.UK, Tenancy deposit protection
- Deposit Protection Service, During the tenancy
- HSE, Gas safety: landlords and letting agents
- GOV.UK, Electrical safety standards in the private and social rented sectors: guidance (1 November 2025)
- GOV.UK, Domestic private rented property: minimum energy efficiency standard (updated 5 May 2026)
- legislation.gov.uk, Energy Efficiency (Private Rented Property) (England and Wales) Regulations 2015, regulation 33
- GOV.UK, Improving the energy performance of privately rented homes: government response (21 January 2026)
- legislation.gov.uk, Housing Act 2004, section 55
- legislation.gov.uk, Housing Act 2004, section 68
- legislation.gov.uk, Housing Act 2004, section 91
- MHCLG Housing Hub, Get ready: Register your rental property
- GOV.UK, Stronger protections and greater confidence for renters (9 September 2026)
- GOV.UK, Extending Awaab's Law to private rented tenancies and to licences (9 October 2026)
- UK Finance, Mortgage Lenders' Handbook for conveyancers, England and Wales, Part 1, clause 6.5.1
- TSB Intermediary, Buy to let tenancy requirements
- HMRC, Capital Gains Manual, CG74200 (updated 30 July 2026)
- GOV.UK, Regulated tenancies
- GOV.UK, Check the register of fair rents
- gov.wales, Fair rents
- gov.wales, Renting homes: frequently asked questions for landlords (updated 29 April 2026)
- legislation.gov.uk, Renting Homes (Wales) Act 2016, sections 173 to 175
- legislation.gov.uk, Renting Homes (Wales) Act 2016, section 39
- legislation.gov.uk, Housing (Wales) Act 2014, section 44
- legislation.gov.uk, Renting Homes (Wales) Act 2016, Schedule 2