Q. I am something of an accidental landlord – having inherited my dad’s apartment a number of years ago. The current tenants have been in place for about 10 years. They have been paying pretty much the same rent since they moved in, and we get on very well. They are thinking about moving on and I am thinking about selling up but have a lot of sentimental attachment to the property. What steps need I take before I make a decision?
Dear Reader,
The first thing you should do is gather up your various title deeds and deposit them with your solicitor. You should also confirm that your LPT is paid up to date and that your management charges for the apartment are up to date.
You should also consider the fact that new tenancy rules come into effect in March of 2026. If the current tenants decide to stay or if they leave and you let the property to new tenants, those new tenants would be entitled to a Tenancy of Minimum Duration (a TMD), and this is for a period of six years at the same rent.
Under the current rules if you decide to sell your property then you would be entitled to issue the current tenants with a Notice to Leave on the basis that you are selling the property. Under the new legislation, you will not be entitled to have any tenants that go in leave simply because you wish to sell the property, so your ability to sell the property would be severely restricted. Of course, you can still sell the property with the tenants in situ, but this would naturally lead to you being unable to sell the property to an owner-occupier, which would naturally affect the price.
At the end of that six-year period, or if the tenant were to leave, you would be entitled to ‘refix’ the rent to a market rate of rent, or then to seek to have the tenants move out for the purposes of sale.
It is important to note that different rules apply to ‘small’ and ‘large’ landlords – a large landlord holding four or more tenancies.
If you wished to sell now, you could compel your tenants to leave under the current rules. It would appear that they intend to leave in any event. However, I would not bank on them moving out, so to speak, but if they do you would then be entitled to sell with ‘vacant’ possession.
Should you have any queries with regard to whether or not you are entitled to seek an increase of rent, or the steps to affect the sale of your property, you should contact your solicitor.