Can You Evict a Tenant to Sell a Property?
Estimated reading time 5 minutes
If you own a buy-to-let property and are considering selling, you will need to think about the tenants before you start putting up the for-sale signs. You have specific rules and responsibilities to adhere to as a landlord and simply evicting a tenant to sell a property is not allowed. Landlords cannot evict tenants just because they want to sell. However, they can sell the house with the tenants in situ or serve notice to the tenants to end their tenancy.
In this blog, we dive a little deeper so landlords can remain compliant with the law and ensure their obligations are met.
How can a landlord evict a tenant if they want to sell?
As mentioned in our intro, a landlord cannot just evict a tenant because they want to sell the property. Instead, they must follow specific rules relating to tenanted properties.
This means they must submit what is known as a Section 21 notice. A Section 21 notice is where the landlord serves notice to the tenants in the name of a “no-fault” eviction. No reason for the eviction needs to be given by the landlord, but the tenants must be given 2 months’ notice before they must leave the property.
The reasons for issuing the Section 21 may vary and could be because the landlord wishes to move back in or because they want to sell the house.
In some cases, a landlord may be able to evict a tenant via a Section 8 if they want to sell the property too. A Section 8 is quite different to a Section 21. This is where the tenant has broken the tenancy agreement and must be informed of the reasons why they are being evicted.
Tenancy agreements can have differing terms and conditions but will commonly include failing to pay rent, causing damage to the property or sub-letting as breaches that warrant a Section 8 notice.
Once issued they will have between 14 days and 2 months to leave the property.
When can a landlord evict a tenant if they want to sell?
A landlord can only evict the tenant via a Section 21 if it is issued at a specific time. A Section 21 cannot be issued within the first four months of a tenancy whether it’s fixed term or flexible. Once these four months have passed, it can be served at any time, giving the tenants two months to leave.
Should the contract be a fixed term, and the landlord wishes to sell, the tenants must be allowed to remain in the property until the end of the term. However, if a break clause has been inserted into the contract, a tenant can be asked to leave sooner.
A break clause means that if an 18-month contract has a 12-month break clause, the tenants can be asked to leave after the first 12 months.
Can tenants stay in the property if the landlord wants to sell?
They can. You can sell a tenanted property and have the new owner take on the responsibility of being the landlord. Often, they may pass it on to a lettings management company to look after it on their behalf. There are some complexities though and if the plan was to have the tenants move out for the sale to complete, things might be about to get a little harder. So it is often a far easier process to sell and let the tenants remain in the property. Properties sold in this way are often advertised as “for sale with tenants in situ”.
Later this year (2025) it is widely expected that Section 21 or “no-fault” evictions will become a thing of the past meaning tenants will have greater rights and enhanced protections. This means that the only way to sell a house with tenants will be with them remaining in situ unless the tenancy has reached its end.
Will landlords be able to evict tenants without a Section 21?
Yes, and despite tenants being given greater powers with the removal of Section 21, landlords will still be able to enforce a newer, more in-depth Section 8. Whereas at the moment, Section 8 notices must be served when there has been a breach of the tenancy, the newer version will extend the number of reasons a landlord can evict a tenant. These will include:
- Landlord wants to sell
- The tenancy agreement has been broken
- A close family member of the landlord is moving in
- The tenant has been behaving in an anti-social manner
This can get complicated though as a landlord will need to prove these reasons rather than just claim them.
If a Section 21 can still be issued, how does a landlord make sure it is valid?
A landlord has several responsibilities and ensuring they are all met enforces the validity of a Section 21 notice.
For example, a Section 21 can be invalidated if:
- You did not put the tenants’ deposit into a deposit protection scheme, protected it outside too late or did not inform the tenants of how the deposit was being protected.
- You try to serve it within the first 4 months of the start of a fixed-term tenancy.
- The notice was served using the wrong government paperwork.
- The tenancy is not an assured shorthold tenancy.
- You failed to provide a valid EPC, gas safety certificate or the current “How to Rent” guide to the tenants.
- You did not have the correct licence for the property to be used as a shared house, bedsit or hostel.
- You have claimed fees from the tenant unlawfully.
If you are a landlord and want to sell your tenanted property and avoid the complexities of evicting good tenants, speak to us. At Sell House Fast we guarantee the sale of any home, regardless of location, condition, type, or whether there are tenants already in place. As cash house buyers, we can make a genuine cash offer, and should it be accepted, have your home purchased in as little as seven days if need be. Contact our team today and together, let’s avoid eviction processes and get your tenanted property sold!