Should landlords sell in 2026? The numbers after the Renters' Rights Act

You bought the flat as your pension. Years of rent, repairs, and the odd 11pm call about a boiler. Now the rules have changed, the paperwork keeps growing, and friends are selling up. Should you sell too? Here's an honest look at the numbers, and the options most landlords don't consider until it's too late.

This guide is general information, not legal or tax advice. Take advice on your own situation.

How many landlords plan to sell?

A lot. A Deposit Protection Service survey, reported by Property Reporter, found 56% planned to sell some or all of their portfolio. The Renters' Rights Act is the main reason most give.

What changed for landlords in 2026?

• Section 21 has gone. You now need a legal ground to end a tenancy.
• Tenancies roll on, with no fixed end date.
• Rent can rise only once a year, through a formal process.
• Getting the home back to sell brings a restriction on letting it again.

That last point catches many landlords out. The government's guide says a landlord who takes the home back to sell will not be able to market or re-let their property for 12 months.

What is the risk of selling with a tenant in?

If you serve notice to sell and the sale falls through, you can be stuck. The NRLA warns you may be left with an empty property you cannot re-let for a prolonged period. Read Selling a house with tenants in.

What does selling actually cost?

Springbok Properties suggests budgeting 2% to 3% of your sale price in selling costs. Capital Gains Tax is usually due on a rental property too, and must be reported and paid within 60 days of completion. Read Capital Gains Tax when selling a rental property.

When does selling make sense?

• You need the money, or want to reduce borrowing.
• The property needs major work you won't fund.
• You're tired of being a landlord, whatever the numbers say.
• Your tenant is leaving anyway, so you can sell empty without serving notice.

When does keeping the property make sense?

• The rent covers the costs comfortably, and the tenant is good.
• You'd face a large Capital Gains Tax bill by selling now.
• You believe in the long-term value of the area.

Is there an option in between?

Yes. If your tenant leaves of their own accord, or the home is already empty, you could switch to short lets instead of selling. Guests have homes elsewhere, so a genuine short let is usually treated as a licence rather than a tenancy, and you keep control of your dates and can sell whenever you're ready. In Brighton, where the ONS puts the average private rent at £1,816 a month, homes we manage were booked on 66.8% of nights in 2025. Compare both with our calculator.

One warning: if you used the selling or moving-in ground to end a tenancy, the letting ban also rules out short lets.

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This is general information, not legal, financial, tax or insurance advice. Market figures are averages as of the date shown above and change every month. Speak to a qualified professional before you act on anything here.