Big legal shake-up ahead

What’s changing – in plain English

Section 8 has always allowed owners to regain possession for specific reasons (like serious rent arrears or planning to move in, but under the proposed rules, the process will become far more regulated and court-led.

Key changes:

• Section 8 becomes the standard and must be evidence-based which no change from the situation now.
• Longer notice periods for reasons like sale or landlord move-in.
• You can’t use these grounds during the first 12 months of a tenancy.
• Rental arrears threshold raised – tenants must owe at least 3 months’ rent before you can act. To put this into perspective in the 20 years of working with owners we have dealt with three instances of having to use section 8 due to outstanding rent.
• No re-letting or holiday lets for six months after you’ve served notice to sell. That’s potentially 4+ months of lost income before you can act – and another 6 months of restriction after.

What does this mean for you as an owner?

If you’ve relied on Section 21 for flexibility or a fallback plan, that’s about to change. This law means:

• Longer void periods if you decide to sell
• Higher court costs if you don’t have insurance
• Greater legal risk if you don’t have evidence
• Stricter documentation and planning needed

Many owners don’t realise: if your circumstances change after you serve notice (e.g. you can’t sell), you still can’t re-let the property for 6 months. That’s a major financial exposure.

How we have been helping you

This Act has been in play since 2019, so we have had a long run in which has enabled us to review strategies for you. Here’s how we reduce risk and protect your income:

• Finding the right resident. We carry out robust pre-tenancy screening – our affordability checks go beyond basic referencing.
• We maintain watertight records and tenancy files – crucial if you ever need to go to court.
• We keep you compliant with over 170 pieces of lettings legislation – so you’re never caught out.
• We’ve trained for this – our legal knowledge and preparation means you’re not left guessing. In the last year we have held six monthly legal update for our team to make sure they are aware of the changes as they happen.

We don’t just react – we plan ahead so you’re not forced into costly delays or legal wrangles.

The Maxine Lester Difference – sorry to blow our trumpet but we have been working with this since 2019 and since 2023 have held free webinars to keep our owners informed and how best to protect themselves.

While others are still talking about what might happen, we’re already working with owners to:

• Update rent protection insurance
• Adapt tenancy lengths and renewal timing
• Create long-term strategies to maintain flexibility
• Implement enhanced resident monitoring and communication processes
• Our Owner Services Team are your personal compliance experts – not just call-handlers. We believe lettings should be personal, not transactional.

What should you do now?

Even though the Renters’ Reform Bill hasn’t yet passed, early action is critical.

We recommend owners:

• Review your current tenancies and plans to sell or move back in
• Strengthen affordability checks
• Ensure all property communications are documented
• Check your rent protection policy – legal cover matters
• Speak to our team about tailored tenancy management options