Recent reports suggest landlords are becoming less worried about the Renters Rights Act — but the statistics tell a different story.
When three quarters of small landlords — the group most likely to be affected — admit they are still unprepared with enforcement just weeks away; it raises an uncomfortable question – is confidence really growing, or are many simply burying their heads in the sand?
With major legal changes looming, the clock is now firmly ticking. Small landlords need to get prepared or get sold.
With the biggest overhaul of the private rented sector in decades about to take effect, many landlords remain unclear on what will change, what they must do, and what happens if they don’t. According to industry research, awareness is still patchy despite the fast-approaching enforcement deadline.
Why small landlords will be hit hardest
While the legislation applies across the sector, smaller landlords are widely expected to feel the greatest impact. That’s because they typically:
- Have fewer financial reserves to absorb compliance costs, upgrades or regulatory penalties
- Manage properties themselves, without agents, legal teams or compliance support
- Own older or single-unit properties, which may need work to meet new standards
- Have less time and resource to keep up with regulatory change
Larger portfolio landlords often already operate with structured compliance systems, professional management and contingency funds. Many small landlords do not — making rapid legal changes significantly harder to manage.
Less Than 12 Weeks to Go — A Quick Guide to the Key Issues
With enforcement fast approaching, here’s a simple overview of the main areas landlords need to understand and prepare for, based on official guidance.
1. Abolition of Section 21 (“no-fault”) evictions
Landlords will no longer be able to evict tenants without a valid legal reason. All possession must be based on defined statutory grounds.
2. Changes to tenancy structures
Fixed-term assured shorthold tenancies will be replaced by periodic tenancies as the default. This gives tenants greater flexibility and security.
3. Private Rented Sector Database
Landlords will be required to register themselves and their properties. Letting or marketing a property without registration could lead to penalties.
4. New landlord ombudsman
A mandatory redress scheme will handle tenant complaints and disputes.
5. Decent Homes Standard for private rentals
Minimum property standards will apply across the sector, requiring safe, well-maintained housing.
6. Awaab’s Law extended to private landlords
Strict timelines will apply for investigating and fixing serious hazards such as damp and mould.
7. Limits on rent increases
Rent increases will be restricted in frequency and subject to formal procedures.
8. Ban on rental bidding
Landlords and agents cannot accept offers above the advertised rent.
9. Stronger tenant rights
This includes the right to request pets (which cannot be unreasonably refused) and protection from discrimination against families or benefit recipients.
10. Clearer rules around ending tenancies
Landlords must follow defined legal grounds and processes, with safeguards designed to prevent misuse.
(These reflect the main regulatory changes local authorities are advising landlords to prepare for.)
The Message Is Simple — Take Action Now
The Renters Rights Act represents a fundamental shift in how the private rented sector operates. Compliance will not be optional — and local authorities will have new powers to enforce the rules.
For small landlords in particular, waiting until the last minute could mean rushed decisions, unexpected costs, or serious legal risk.
- Review your tenancies.
- Check your property standards.
- Understand the new legal framework.
- Register where required.
The transition period is almost over. Preparation now is far easier — and far cheaper — than enforcement later.
If you’re a small landlord and haven’t started preparing yet, the time to act is not next month… it’s today.
Thinking of selling instead of adapting?
If the new rules feel overwhelming and you’re dreading the Make Tax Digital changes coming into force later this year — or you’re questioning whether letting still makes financial sense — you don’t have to navigate the changes at all. Many small landlords are choosing to exit the PRS now while they still have full control over timing, price and tenant arrangements.
If you’d rather sell than restructure, upgrade or manage ongoing compliance, you need to move fast – new fines and increased financial penalties for landlords in England under the Renters’ Rights Act 2025 will come into force on May 1, 2026.
These new measures introduce fines of up to £1000 for failing to update their digital contact details, up to £7,000 for minor non-compliance, and up to £40,000 for serious or repeat offenses, such as improper use of eviction notices.
If you would like to speak to a specialist who understands landlord sales and tenant-in-situ transactions, talk to us today by letting us know what properties you are thinking of selling using the button below.