Yes, landlords can still sell a tenanted property. The important change is how you get vacant possession if the tenant does not agree to leave.
From 1 May 2026, Section 21 will no longer be available for private landlords in England. Landlords will need a legally valid possession ground, and for a genuine sale, the key route is Ground 1A. GOV.UK says that from this date landlords will not be able to use Section 21 and will usually need to serve a Section 8 notice if they want possession.
This guide explains what Ground 1A means, when landlords can use it, and the risks to check before starting the process.
This article is general guidance for landlords in England. It is not legal advice.
What is Ground 1A?
Ground 1A is the possession ground used where a landlord intends to sell the property.
It sits within the Section 8 process. It is a mandatory ground, which means that if the landlord proves the ground and the correct process has been followed, the court must make a possession order. GOV.UK confirms that mandatory grounds require the court to give a possession order if the ground is proved.
Ground 1A is not the same as Section 21. It is not a general “no reason needed” notice. You must be able to show a real intention to sell.
Can you sell with the tenant still living there?
Yes. You do not always need Ground 1A to sell.
A landlord can sell a property with the tenant in situ. In that situation, the buyer becomes the new landlord and the tenancy continues. Shelter explains that a tenant’s tenancy keeps going if the landlord sells, the tenant’s rights stay the same, and the new owner cannot simply tell the tenant to leave without the proper legal process.
For landlords, this usually gives you three main routes:
- Sell with the tenant in situ
The tenant stays, rent continues, and the buyer takes over as landlord. - Agree a voluntary surrender
The tenant agrees to leave by a set date. This should be handled carefully and confirmed in writing. - Use Ground 1A for vacant possession
You serve the correct notice because you genuinely intend to sell and need the tenant to leave.
When can a landlord use Ground 1A?
GOV.UK says landlords can use Ground 1A if they intend to sell the property, but they cannot ask the tenant to leave for this reason within the first 12 months of a new tenancy. The same guidance also notes that Ground 1A cannot be used for certain older assured tenancies that were created before 1 May 2026 and were not assured shorthold tenancies.
The notice period is 4 months. GOV.UK confirms that landlords using Ground 1A must give 4 months’ notice before applying to court for a possession order.
In plain English, you should check:
- Has the tenancy been running long enough?
- Is this a private rented sector tenancy in England?
- Do you genuinely intend to sell?
- Can you evidence that intention?
- Has the deposit been protected correctly?
- Are you ready for the 12-month no re-let risk?
How does the Ground 1A process work?
1. Decide whether you need vacant possession
Before serving notice, decide whether you actually need the tenant to leave.
Selling with the tenant in place may suit another landlord or investor. Vacant possession may appeal to a wider buyer pool, but it can also mean delays, legal steps and the risk of lost rent.
2. Check the tenancy and compliance position
Before starting any possession process, check the basics.
GOV.UK says that, for most possession grounds, a court will only give a possession order if the tenancy deposit has been protected correctly, the scheme requirements have been followed, and the tenant has been given the required prescribed information.
This is where many landlords get caught out. A sale plan can be delayed if the paperwork is not clean.
3. Serve the correct Section 8 notice
From 1 May 2026, landlords will usually need to use the new Section 8 notice, Form 3A, when they want the tenant to leave and intend to seek possession. GOV.UK warns that an incomplete or inaccurate notice can cause a claim to be dismissed or delayed.
Do not rely on informal messages, texts or verbal requests. Use the correct process.
4. Keep evidence of your intention to sell
If the tenant does not leave and you need to go to court, you must prove the ground.
GOV.UK says evidence of an intention to sell could include proof that you have instructed an estate agent.
Useful evidence may include:
- Estate agent instruction
- Valuation notes
- Sales listing preparation
- Solicitor correspondence
- Board or marketing records
- Clear internal decision notes showing why you are selling
5. Apply to court if the tenant does not leave
If the tenant does not leave by the date in the notice, you must apply to court for a possession order. GOV.UK confirms that, from 1 May 2026, the county court possession process will follow the Section 8 route for private rented sector cases.
The 4-month notice period is not the same as a guaranteed move-out date. If the tenant stays, the court process adds time.
The big risk: the 12-month no re-let rule
This is the part landlords need to understand before using Ground 1A.
If you use Ground 1A and then the sale does not happen, you may be restricted from re-letting or re-marketing the property for rent during the restricted period.
GOV.UK says that, on or after 1 May 2026, landlords could face a financial penalty of up to £40,000 as an alternative to prosecution if they re-let or re-market a property within the 12-month no re-let and re-marketing restricted period after using Grounds 1 or 1A, unless an exception applies.
Remarketing can include advertising that the property is or may be available to let, including posting an advert online. It can also include telling someone the property may be available to let while carrying out letting agency work.
That means Ground 1A should not be used casually. If your plan is uncertain, get advice before serving notice.
Selling with tenant in situ vs using Ground 1A
| Option | Best for | Main benefit | Main risk |
|---|---|---|---|
| Sell with tenant in situ | Investor buyers | Rent can continue during the sale | Smaller buyer pool |
| Voluntary surrender | Cooperative tenant situations | Can be quicker and less formal | Tenant must genuinely agree |
| Ground 1A | Sale with vacant possession | Clear legal route if proved | 4 months’ notice, court risk, 12-month no re-let restriction |
Common mistakes landlords should avoid
Serving notice too early
Ground 1A cannot be used to require the tenant to leave within the first 12 months of a new tenancy. GOV.UK also explains that Grounds 1 and 1A cannot be used until 12 months after the tenancy started, although notice can be served earlier if the date in the notice is after the tenant has been in the property for 12 months.
Assuming a sale automatically ends the tenancy
It does not. If you sell with the tenant in place, the tenancy continues and the new owner becomes the landlord.
Pressuring the tenant to leave
A tenant can only be made to leave if they agree or the landlord follows the correct legal process. Shelter notes that forcing a tenant to leave without the proper process could amount to illegal eviction.
Forgetting about viewings
If the tenant is still living in the property, access needs to be handled properly. Shelter advises that tenants should check their agreement, and that they do not have to agree to viewings unless the agreement says so.
Re-listing the property for rent after using Ground 1A
This can create serious enforcement risk. The 12-month restricted period is designed to stop landlords using a sale ground and then quickly re-letting.
Quick landlord checklist before using Ground 1A
Before you serve notice, check:
- Is the property in England?
- Is the tenancy covered by the new rules?
- Has the tenancy passed the 12-month point by the required possession date?
- Is your intention to sell genuine?
- Do you have evidence of your sale plan?
- Has the deposit been protected correctly?
- Have you used the correct Section 8 form?
- Have you planned for the possibility that the tenant does not leave?
- Can you cope if the property cannot be re-let during the restricted period?
So, can landlords still sell a tenanted property?
Yes. Landlords can still sell a tenanted property.
What has changed is the route to vacant possession. Ground 1A gives landlords a legal route where they genuinely intend to sell, but it comes with a 4-month notice period, evidence requirements, possible court action and a serious no re-let restriction.
For some landlords, selling with the tenant in situ may be cleaner. For others, vacant possession may still be the right commercial decision. The key is to plan the route before serving notice.
Need help deciding whether to sell or keep renting?
ABC Gone helps landlords and sellers across London and Essex with lettings, property management, Guaranteed Rent and property sales. The right route depends on your property, tenant position, compliance paperwork and timescale.
If you are weighing up a sale, a managed tenancy or a Guaranteed Rent option, speak to ABC Gone before taking the next step.
Phone: 02085 530645
Email: info@abcgone.com
Address: 33 Station Road, Harold Wood, Romford RM3 0BS
