In the UK rental market, the concept of a “sitting tenant” can be confusing for both landlords and tenants. Unlike many tenancy rules that depend on the length of stay or rental history, sitting tenant status is determined by a specific set of legal circumstances. Most notably, when a tenant remains in a property that is sold by the landlord.
Understanding when and how a tenant becomes a sitting tenant is important for protecting your rights and making informed decisions about property ownership or occupancy.
In this guide, we’ll explain exactly what a sitting tenant is, clarify the legal framework and explore how different tenancy agreements impact this status.
What is a sitting tenant?
A sitting tenant, sometimes called a “tenant in situ”, is someone who remains in a rental property after it has been sold to a new owner. This means the tenant continues to live in the property under the terms of their existing tenancy agreement and the new owner effectively steps into the role of landlord, taking on all the same rights and obligations as the previous one.
This status doesn’t depend on how long the tenant has been living there. Instead, what matters is that a valid tenancy agreement is in place at the time of sale. So, a tenant could live in a property for just a few months and still be considered a sitting tenant if the landlord decides to sell during that period.
When does a tenant become a sitting tenant?
A tenant becomes a sitting tenant the moment a property is sold with the tenancy still active. There is no specific length of time the tenant must have lived in the property, it’s purely based on whether or not they are occupying the home under a legal tenancy when ownership changes hands.
The key element here is continuity. If the tenant is still in place and their tenancy agreement is ongoing at the time the property is sold, they automatically become a sitting tenant. This status continues until the tenancy ends lawfully, either by mutual agreement, the tenant giving notice or through legal eviction proceedings.
Why the type of tenancy agreement matters
Whether a sitting tenant has strong protections or limited rights depends heavily on the type of tenancy agreement in place. The most common type of tenancy today is the Assured Shorthold Tenancy (AST), which typically lasts for a fixed period (e.g. six or twelve months) and then rolls into a periodic tenancy unless renewed.
However, some sitting tenants have older agreements – like regulated or protected tenancies that began before January 1989 – which come with far stronger legal protections. In those cases, tenants may be able to stay indefinitely and their rent may even be subject to control by the Rent Officer.
Related: I Don’t Have a Tenancy Agreement: What are My Rights?
What rights do sitting tenants have?
Sitting tenants have the right to continue living in the property under the same terms they agreed with the original landlord. The new owner cannot simply evict the tenant because they’ve bought the property – they must follow the proper legal channels to end the tenancy.
For tenants under an Assured Shorthold Tenancy, the new landlord can regain possession using Section 21 (no-fault eviction) or Section 8 (if there’s a breach, like rent arrears). However, they must still serve the correct notice and follow due process through the courts if necessary.
For regulated or protected tenants, eviction is far more complex. The landlord would need to rely on a narrow set of legal grounds and may not be able to regain possession at all – especially if the tenant has paid rent regularly and not breached the tenancy.
Can a sitting tenant be asked to leave?
Yes, but only if the landlord follows the proper legal procedure. If a tenant has an Assured Shorthold Tenancy, the landlord can serve a Section 21 notice giving at least two months’ notice, provided the fixed term has ended and all deposit protection rules have been met.
If the tenant doesn’t leave by the end of that notice period, the landlord would need to apply to the courts for a possession order. In contrast, tenants under older tenancy types, like those protected by the Rent Act 1977, can only be removed in very limited circumstances.
Importantly, a sitting tenant cannot be removed simply because the new owner wants to live in the property or sell it with vacant possession. As long as the tenancy is legally valid, the tenant is entitled to stay.
Implications for buyers and landlords
For buyers, purchasing a property with a sitting tenant can be both an opportunity and a risk. On one hand, it provides a ready-made rental income from day one. On the other, it limits your ability to move into the property or sell it to owner-occupiers in the short term.
Landlords must carefully check what kind of tenancy agreement the sitting tenant holds, how long it’s been in place and whether any historic terms still apply. It’s also important to ensure that rent payments, deposit protection and safety certificates are all up to date, as you’ll be inheriting responsibility for them.
If you’re unsure, legal advice is strongly recommended before proceeding with a purchase involving a sitting tenant.
Need advice on a sitting tenant situation?
Whether you’re a landlord, property investor or tenant, understanding your legal rights around sitting tenancies can be complicated. At Osbourne Pinner Solicitors, we offer clear guidance on property law, landlord-tenant disputes and tenancy agreements.
We offer a free 30-minute consultation to discuss your case. Contact us today via the form below, call 0203 983 5080 or email [email protected] to speak to a solicitor in Harrow, Canary Wharf, Piccadilly Circus or Manchester.
