The Renters' Rights Act: What It Means for Landlords and Tenants in England

The private rental sector in England has undergone its biggest legal overhaul in decades. The Renters' Rights Act (previously known as the Renters Reform Bill) is designed to create a fairer, more transparent rental market while improving security for millions of tenants. For landlords and property investors, however, it also introduces new responsibilities and operational challenges. The main provisions came into force on 1 May 2026.

At Sholz Homes, we believe understanding these changes is essential whether you're a landlord growing your portfolio or a tenant looking for your next home.

Key Changes Under the Act

Some of the most significant reforms include:

The abolition of Section 21 "no-fault" evictions.

Fixed-term Assured Shorthold Tenancies replaced by rolling periodic tenancies.

Rent increases limited to once every 12 months through the legal process.

Stronger rights for tenants to request permission to keep pets.

Ban on rental bidding wars.

Restrictions on refusing tenants simply because they receive benefits or have children.


The Advantages

Greater Security for Tenants

The removal of Section 21 means tenants cannot be asked to leave without a valid legal reason. This provides greater housing stability and allows families to plan for the future with more confidence.

Improved Standards Across the Sector

The reforms encourage landlords to maintain well-managed, safe, and compliant properties. This helps improve the overall quality of housing available in the private rental market.

More Transparency

The Act bans rental bidding, meaning landlords must advertise a clear asking rent rather than encouraging tenants to outbid one another. This creates a fairer and more predictable renting process.

Better Tenant-Landlord Relationships

With longer-term occupancy becoming more common, landlords may benefit from stronger relationships with responsible tenants, potentially reducing costly void periods and frequent tenant turnover.

The Challenges

Reduced Flexibility for Landlords

Without Section 21, landlords must rely on specific legal grounds if they need possession of their property. While legitimate grounds remain available, the process can be longer and more evidence-based.

Increased Compliance

Landlords now need to stay up to date with new legal requirements, provide mandatory information to tenants, follow revised rent increase procedures, and ensure ongoing compliance with the legislation.

Potential Impact on Rental Supply

Some landlords have already chosen to sell their rental properties rather than continue under the new regulatory framework. A reduction in available rental homes could place upward pressure on rents in areas where demand remains high.

Greater Professionalism Required

Successful landlords will increasingly need robust tenancy management, accurate documentation, and proactive communication. Many are choosing to work closely with experienced letting agents to help navigate the changing legal landscape.

What This Means for Property Investors

The new legislation doesn't mean buy-to-let investing is no longer viable. Instead, it signals a shift towards more professional property management.

Investors who:

maintain high-quality accommodation,

understand their legal obligations,

communicate well with tenants, and

seek expert advice,


are likely to remain well positioned despite the changing regulatory environment.

The Sholz Homes Perspective

Every major legislative change brings both opportunities and challenges. The Renters' Rights Act aims to strike a better balance between protecting tenants and supporting responsible landlords.

At Sholz Homes, we see this as an opportunity to raise standards across the industry. Well-informed landlords who adapt early will continue to attract quality tenants and build successful, sustainable property portfolios.

Whether you're letting your first property or expanding an established portfolio, staying informed is the key to long-term success.

Need expert guidance on navigating the new rental landscape? Contact Sholz Homes today. We're here to help landlords, investors, and tenants make confident property decisions in a changing market.