Possession by Sale Under the Renters’ Rights Act 2025: Straightforward Solution or Costly Challenge?

The Renters’ Rights Act 2025 introduced Ground 1A into Schedule 2 of the Housing Act 1988. It provides a new mandatory possession ground where a landlord genuinely intends to sell the property. The ground was designed to replace the practical role previously performed by section 21 notices following the abolition of “no-fault” evictions.

To succeed, a landlord must show that:

• They genuinely intend to sell their freehold or leasehold interest.
• The required notice period has been given (currently four months).
• The intention to sell exists both when the notice is served and when the court hears the claim.

Note however that a landlord can serve a Ground 1A notice before the tenancy reaches 12 months. However, the notice cannot expire within the first 12 months of the tenancy, and proceedings cannot effectively be commenced until that protected period has elapsed.

Because Ground 1A is a mandatory ground, the court must grant possession if the statutory requirements are proved. The key battleground is therefore likely to be whether the landlord has established a genuine intention to sell.

The problem? No case law (at the moment). Ground 1A is new. As of June 2026 there is effectively no reported case law explaining:

• What level of evidence is sufficient.
• Whether a mere intention is enough.
• Whether a property must already be marketed.
• Whether an aborted sale undermines the original claim.
• How courts will distinguish a genuine intention from an attempt to remove a tenant.

Consequently, practitioners must look at the statutory wording and analogous possession cases involving intention-based grounds.

What evidence is likely to satisfy the court?

The legislation requires an intention to sell, not a completed sale. Parliament deliberately chose “intends to sell” rather than “has sold” or “has exchanged contracts”.

In the absence of authority, courts are likely to look for objective evidence showing a settled and genuine decision to sell. Useful evidence could include:

• A signed instruction to an estate agent;
• Property valuation reports;
• Marketing particulars prepared before service of notice, online advertisements;
• Correspondence with conveyancing solicitors.
• Draft contract for sale;
• Board resolutions (for corporate landlords);
• Evidence of financial reasons for sale, such as mortgage pressures or portfolio restructuring;
• Evidence that the property has been listed for sale or preparations made for marketing.

A prudent landlord would ideally produce a bundle containing several of these documents rather than relying upon a single piece of evidence.

Is an estate agent’s letter enough?

Possibly, but it may not always be decisive. An instruction letter from an estate agent demonstrates that the landlord has taken a concrete step towards selling and is likely to be persuasive evidence. However, a tenant could argue that the instruction was obtained solely to support possession proceedings and that there was no genuine commitment to market the property. 

For that reason, landlords would be wise to supplement any agent’s letter with additional evidence showing a consistent intention to sell.

Will the court require a buyer?

Probably not. The statutory wording does not require a purchaser to be identified before possession proceedings are issued.

Requiring a buyer would largely defeat the purpose of Ground 1A because many owner-occupier purchasers require vacant possession before committing to a transaction.

The better interpretation is that the landlord must prove a genuine intention to sell, not a guaranteed sale.

A likely judicial approach:

County courts may adopt a test similar to that used in other intention-based housing cases. Has the landlord demonstrated a settled, genuine and present intention to sell, supported by objective evidence? A landlord who can show a documented decision-making process and tangible steps towards sale is likely to be in a stronger position than one relying solely on a witness statement.

The significance of the 12-month re-letting restriction:

After obtaining possession under this ground, landlords face restrictions on re-letting and may be exposed to substantial penalties if they misuse the process. A Landlord must not re-let the property for at least 12 months once possession is granted.

Conclusion:

Until appellate authority develops, Ground 1A remains an area of uncertainty. The safest assumption is that courts will require evidence of a genuine, settled and present intention to sell, rather than proof of an actual sale. Landlords should therefore build a documentary trail before serving notice: estate-agent instructions, solicitor correspondence, valuations, marketing preparations and financial evidence will all assist. A bare assertion that the property “may be sold” is unlikely to be sufficient, whereas a coherent package of contemporaneous documents is far more likely to satisfy the court that Ground 1A has been made out. Due to the absence of reported authority on Ground 1A, early county court decisions may significantly shape how the ground is interpreted in practice.

Possession:

The Section 8 Notice must specify this ground and provide the tenant with four months’ notice before possession proceedings can commence. Once the notice has expired, the landlord should issue a claim in court.

Unlike the former section 21 regime, Ground 1A is not dependent upon service of gas safety records, EPCs or “How to Rent”-type documentation.

Those documents may be exhibited if relevant, but they are not statutory preconditions to Ground 1A possession proceedings. The key documents will ordinarily be:

• section 8 notice;
• tenancy agreement;
• proof of service;
• TDS Certificate (evidence deposit placed in protected scheme within 30 days of grant of the tenancy);
• evidence supporting the intention to sell (as above).

Written by Caitlin Ward, Solicitor.

If you would like further help and guidance in relation to housing, property, or possession matters, please contact us on 020 8290 0333 or email info@judge-priestley.co.uk 

For further information on our Housing Management services, click here.

Sources:

Renters Rights Act 2025

Housing Act 1988

Governments Guide for Landlords on the Renters Rights Act 2025