Renting out in Southampton in 2026: a landlord’s guide to the Renters’ Rights Act

Martin & Co Southampton landlord guide to the Renters Rights Act

The biggest change to English lettings law in a generation, and what it means for Southampton

The Renters’ Rights Act came into force on 1 May 2026, and its impact is being felt across every postcode in Southampton. Whether you manage a student HMO in SO17, a city-centre flat near Ocean Village, or a portfolio of professional lets close to Solent University, the rules of the game have fundamentally changed.

This is not a moment for vague reassurance. It is a moment for clear, practical guidance, and that is exactly what Martin & Co Southampton is here to provide.

This guide cuts through the noise and gives you the specific information you need to remain compliant, protect your income, and continue benefiting from one of the South Coast’s most resilient rental markets.

What the Renters’ Rights Act has changed: the essentials

The end of Section 21 and fixed-term assured shorthold tenancies

The most significant change is the abolition of Section 21 “no-fault” evictions. As of 1 May 2026, all assured shorthold tenancies (ASTs), including those already in existence, have automatically converted to assured periodic tenancies.

This means landlords can no longer rely on a fixed-term end date to regain possession. Every tenancy now runs on a rolling basis, and possession can only be sought through defined Section 8 grounds.

For many Southampton landlords, this requires an immediate rethink of portfolio strategy. The old model of issuing a new fixed-term every twelve months no longer exists.

Section 8 grounds: what you can and cannot rely on

The Section 8 grounds have been updated and expanded under the Act. Mandatory grounds, where the court must grant possession if the ground is proven, include serious rent arrears, anti-social behaviour, and the landlord’s genuine intention to sell or move in.

Notice periods have also changed. For the most commonly used grounds, landlords must now provide longer notice periods than previously required, and the courts remain the only route to possession where a tenant does not vacate voluntarily.

Understanding which grounds apply to your specific property type in Southampton is critical. Getting this wrong can result in delays, legal costs, and lost rental income.

A critical update for SO17 landlords: Ground 4A and student lets

For landlords managing Houses in Multiple Occupation (HMOs) in Portswood and Highfield, two of Southampton’s most active student rental corridors, Ground 4A is the provision you need to understand above all others.

Ground 4A is the only mechanism that now replaces the old fixed-term model for student lets. It allows landlords to seek possession at the end of the academic year, provided specific eligibility conditions are met. These include the property being let to at least one full-time student, and the tenancy having been granted before the occupation began with the relevant notice served correctly at the outset.

What SO17 HMO landlords must do now

If you are letting to students in SO17 and have not reviewed your tenancy documentation since May 2026, this needs to happen immediately. Ground 4A is only available if the correct procedures were followed from the start of the tenancy.

Martin & Co Southampton works with student HMO landlords across Portswood and Highfield to ensure every tenancy is structured correctly, so that Ground 4A remains available when you need it.

SO14 and professional lets: planning for periodic tenancies

For landlords with properties near Ocean Village, the waterfront, and the commercial districts around Solent University, the shift to assured periodic tenancies has significant implications for portfolio planning.

Without a fixed end date, tenants can give two months’ notice to vacate at any point. This introduces a different kind of void period risk, one that requires proactive tenant retention strategies and tighter management.

The good news is that Southampton’s professional rental market remains exceptionally strong. Average private rents in the city reached £1,255 per month in July 2026 (ONS), representing a 3.1% year-on-year increase. Gross yields across the city average approximately 6.42%, making Southampton one of the more attractive markets on the South Coast for landlords who manage their portfolios well.

Strong fundamentals reward well-managed properties. The landlords who will thrive under the new regime are those who are compliant, responsive, and supported by an experienced local agent.

The new Section 13 rent review process

Under the Renters’ Rights Act, landlords can only increase rent once per year using the formal Section 13 procedure. The correct notice must be served, and tenants now have the right to challenge any increase they consider above market rate at the First-tier Tribunal.

This is not a mechanism to be used informally or without proper documentation. If a rent increase is challenged and the Tribunal determines the proposed rent exceeds the open market rate, the increase will be reduced accordingly, and the process can be time-consuming.

For Southampton landlords, this means rent reviews must be evidence-based, properly timed, and correctly served. Martin & Co Southampton manages this process on behalf of landlords across the city, ensuring increases are defensible and compliant.

The ban on advance rent exceeding one month

A provision that catches some landlords off guard is the new ban on requesting advance rent payments exceeding one month’s rent. Previously, some landlords, particularly those letting to international students or applicants without a UK credit history, requested several months’ rent upfront as a risk mitigation measure.

This is no longer permitted. Landlords who continue to request advance rent above the one-month limit face civil financial penalties. Alternative approaches, such as guarantor arrangements and specialist referencing, are now the appropriate tools for managing higher-risk tenancy applications.

The Private Rented Sector Database: prepare now

The government’s Private Rented Sector (PRS) Database is due to begin rolling out from late 2026. Registration will become a legal requirement as the rollout progresses, with the detailed timetable and fees confirmed through regulations.

While the database is not yet live, Southampton landlords with larger portfolios should begin preparing their records now. Ensuring your properties are correctly documented, compliant with current EPC and safety requirements, and managed to the required standard will make registration straightforward when the time comes.

How Martin & Co Southampton supports landlords through every change

Navigating the Renters’ Rights Act alone is a significant undertaking, particularly for landlords managing multiple properties or HMOs across different Southampton postcodes. Martin & Co Southampton offers a range of flexible management services designed to take the complexity off your desk entirely.

Services built around your needs

Our Premium Managed service provides full property management with rent and legal protection, giving you complete peace of mind in the current legislative environment. Our Managed service delivers 24/7 maintenance support, compliance oversight, regular inspections, and a dedicated local team as your sole point of contact.

For landlords who want to retain more hands-on involvement, our Rent Collection and Tenant Find services provide the level of support that suits your approach, with the same rigorous compliance standards underpinning every service level.

All Martin & Co landlords benefit from government-approved deposit protection, client money protection insurance, state-of-the-art tenant background checks, and access to the UK’s largest property portals to minimise void periods.

With over 30 years of experience in residential lettings and more than 41,000 properties managed across the network, Martin & Co has the depth of expertise to handle everything the Renters’ Rights Act requires, so you do not have to.

Southampton’s rental market remains a strong long-term investment

It is worth stepping back from the legislative detail to reaffirm what the data confirms. Southampton’s rental market is performing well. Average rents of £1,255 per month (ONS, July 2026), year-on-year growth of 3.1%, and gross yields averaging 6.42% across the city tell a clear story: this is a market that rewards landlords who stay in it and manage their properties well.

The Renters’ Rights Act raises the bar for compliance. But for landlords who meet that bar, or who work with an agent that ensures they do, the fundamentals remain firmly in their favour.

Take the next step with confidence

The Renters’ Rights Act is not a reason to exit the Southampton rental market. It is a reason to make sure your properties are managed by people who understand every detail of it.

If you are a Southampton landlord with questions about how the Act affects your specific portfolio, whether you have one property in Portswood or several across SO14 and beyond, Martin & Co Southampton is ready to help.

Contact Martin & Co Southampton today to speak with a member of our dedicated local team. We will walk you through exactly what you need to do, without any fuss.

Ready to find out what your property is worth in the current market? Book a free, no-obligation valuation with Martin & Co Southampton and get a clear, data-led picture of your rental position in 2026.

Stay in the loop

Subscribe to our newsletter to receive regular property updates.

Do you have a property to Sell or Let?

Book a free sales or lettings valuation with your local agent

May also interest you...

Are you ready to sell or let your property?

Book a free sales or lettings valuation with your local agent, and they will use their local knowledge and expertise to give you the most accurate sales or lettings valuation.

A couple sits together on a couch, focused on a laptop.