Renters’ Rights Act What Landlords Need to Know

With the Renters’ Rights Act coming into force on 1 May 2026, this is the biggest shift the lettings market has seen in decades. Many landlords across Leyton, Gidea Park and the wider East London and Essex areas are still underestimating how much day-to-day management will change.

At OC Homes, we are already preparing our landlords for the transition to ensure they remain compliant and protected.

Here is what you need to know.

The end of fixed-term tenancies
From 1 May 2026, fixed-term Assured Shorthold Tenancies will effectively disappear. All tenancies will move to rolling (periodic) agreements automatically.

This means:
• No more renewals every 12 months
• Tenancies continue indefinitely until ended correctly
• Greater responsibility on landlords to manage ongoing tenancies properly

As confirmed in the government guidance, existing tenancies will automatically continue as rolling agreements without needing to be reissued

For landlords in areas like Gidea Park and Leyton where tenant demand is strong, this creates stability, but also removes the control many landlords are used to.

Section 21 is being abolished
One of the most talked about changes is the removal of Section 21 “no fault” evictions.

From 1 May:
• Landlords can no longer evict without a legal reason
• All possession must be done via Section 8 grounds
• Evidence will be required if the matter goes to court

This fundamentally changes risk for landlords. You now need a clear and documented reason to regain possession, such as rent arrears or anti-social behaviour.

Rent increases now fall under Section 13
Another key change is how rent increases are handled.

• Rent review clauses will no longer apply
• Rent can only be increased once per year
• A formal Section 13 notice must be served
• A minimum of 2 months’ notice is required

Tenants will also have the right to challenge increases at tribunal if they believe the rent is above market rate. For landlords in competitive markets like Leyton, pricing strategy becomes even more important.

New rules on rent in advance and payment flow
One of the more practical changes landlords need to understand is how payments are taken.

Under the new rules:
• You cannot take rent before the tenancy is signed
• This creates a risk of tenants signing without paying rent

To help address this, platforms that we use here at OC Homes, such as Goodlord, are changing their payment flow so:
• Deposit is paid first
• Tenant cannot sign until deposit is cleared
• First month’s rent is paid after execution
This reduces the risk of tenants starting a tenancy already in arrears, which will be critical under the new regime. All tenants must receive the official Information Sheet.

Another compliance requirement many landlords are not yet aware of:
• Every tenant must receive the official Renters’ Rights Information Sheet
• It must be sent as a PDF or hard copy (not a link)
• Deadline is 31 May 2026
• Fines can reach up to £7,000 per tenancy if missed
This applies to all existing assured and AST tenancies with written terms.

Why this matters for landlords
The overall direction of travel is clear. The legislation is designed to give tenants more security and place greater responsibility on landlords and managing agents.

For landlords managing properties themselves or using let-only services, this creates increased exposure:
• More legal process around possession
• Stricter compliance requirements
• Ongoing tenancy management rather than fixed cycles
• Greater documentation and audit trail expectations

This is where many landlords will start to feel the pressure.

Fully managed vs let-only – the conversation landlords need to have
At OC Homes, we are already seeing more landlords in Leyton and Gidea Park reassessing how their properties are managed. Under the new rules, fully managed services are no longer just about convenience, they are about protection.

With a fully managed service using OC Homes, we:
• Ensure all compliance deadlines are met
• Serve legal notices correctly
• Handle rent reviews in line with Section 13
• Manage tenant communication and disputes
• Maintain clear audit trails for legal protection

With let-only, all of this responsibility sits with the landlord. Many landlords simply do not realise the level of involvement now required until it is too late.

How OC Homes is supporting landlords through the transition
At OC Homes, we are taking a proactive approach across our portfolio:

• Auditing all tenancies ahead of 1 May
• Ensuring Information Sheets are correctly served
• Updating processes in line with the new legislation
• Advising landlords on rent strategy and compliance
• Supporting smooth transition to periodic tenancies

Our focus is simple. Keep our landlords compliant, protected and performing in a changing market. If you are a landlord and unsure how these changes affect you, now is the time to review your position. If you currently have a let-only arrangement and want to understand what full management would look like under the new rules, feel free to get in touch with us directly via any of our offices based in London and Essex.

OC Homes
Local experts in Leyton, Gidea Park and across East London and Essex