There are new guidelines being issued for agents selling former rental properties, or those properties still tenanted.

Propertymark is reminding sales agents that under the Renters Rights Act many landlords are likely to use mandatory possession Ground 1A, when they to sell. 

However, they cannot use this ground to ask a tenant to leave within the first 12 months of a new tenancy (signed on or after May 1 this year).

Once that 12-month period has passed, landlords must give four months’ notice before applying to court for possession. 

Even then, sales agents instructed by landlords should make clear that serving notice does not guarantee possession by a fixed date, as court capacity and enforcement delays may affect timelines.

Ground 1A must only be used when the landlord has a genuine intention to sell. 

Propertymark says agents should advise sellers to keep clear records, including property particulars, advertisements, solicitor correspondence, and other evidence showing that the property is genuinely being prepared for the market.

The Act does not prevent a rented property being marketed during a notice period, but agents must avoid implying that vacant possession is guaranteed.

And Propertymark specifically tells members: “Use careful wording to describe the situation, such as “subject to vacant possession” or “notice served”, rather than presenting the outcome as certain. 

“This is particularly important for auctioneers, where catalogue entries, legal packs, and special conditions must accurately reflect the tenancy position.”

For those sales of rental properties with the tenants in situ – which can appeal to some potential investment buyers – agents are being advised to establish key details at the start, including whether the property is let, what type of tenancy is in place, when it began, whether notice has been served, who served it, and which ground has been used.

This information affects valuation, buyer targeting, marketing copy and legal documentation. 

It also helps prevent misunderstandings later in the transaction.

Propertymark member agents can see more details on the guidance here: https://www.propertymark.co.uk/resource/selling-property-under-the-renters-rights-act.htm