Renters' Rights Act drives landlord exodus to auction market

EiG's Q3 2026 Auction Insights Report reveals how the Renters' Rights Act has reshaped property auctions, pushing tenanted sales to a 2024 peak before a gradual return to historic norms.

Related topics:  Auctions,  Landlords,  Renters Rights Act
Property | Reporter
15th September 2026
Auction 822

The Renters' Rights Act has prompted significant shifts in landlord behaviour at property auctions, according to new data from the Essential Information Group (EiG), with tenanted disposals spiking sharply in 2024 before settling back as sellers opted to regain vacant possession ahead of the legislation taking effect.

EiG's Q3 2026 Auction Insights Report, covering three key trends shaping the market this year, found that tenanted sales increased by 21.8% year on year in Q2 2024 and by 48.4% in Q3 2024, before falling back during 2025. H1 tenanted sales in 2022, 2023 and 2026 are all at broadly similar levels, pointing to 2024 as an unusually active period for tenanted disposals rather than the start of a structural shift.

The proportion of tenanted properties in the overall sales mix followed a similar pattern. Tenanted lots represented 13.3% of sales in H1 2024, before falling to 9.9% in 2025 and recovering slightly to 10.2% in 2026, close to historic norms.

Landlords who had decided to sell may have chosen to regain possession before the new rules came into force in May 2026, allowing them to bring properties to auction vacant. Vacant sales, meanwhile, continued to grow throughout the period, partly reflecting the broader expansion of the auction market and partly the conversion of former rental stock.

Flats find a new route

The report also identifies a marked increase in flat sales at auction, driven by a combination of the Renters' Rights Act, leasehold complications, rising service charges and cladding and building safety issues that have made some properties harder to sell through conventional channels.

Quarterly flat sales have broadly doubled since 2021, and their share of residential auction sales rose to 27.2% in Q2 2026, its highest point across the period analysed and up from around a fifth of sales during much of 2021 to 2024. Flat sales were 18.1% higher in Q2 2026 than in Q2 2025, with growth recorded in 11 of the 13 regions in H1.

Yorkshire and The Humber saw the largest percentage increase at 29.0%, closely followed by London at 27.6%, where more than 200 additional flat sales were recorded compared with H1 2025.

Price accessibility is also a factor. Almost half of the flats sold at auction during H1 2026 were below £100,000, with 60.6% below £150,000 and 79.2% below £250,000, providing entry points that attract investors, developers and cash buyers prepared to consider properties with more complex leasehold or building-related considerations.

Volumes up across almost every region

Residential auction sales reached 15,349 in H1 2026, up 8.4% on H1 2025, with growth recorded across 12 of the 13 regions. London led the major markets with a 24% increase, while Yorkshire and The Humber and the North-West both grew by 12%, the South-West by 11% and the North-East by 10%.

Average sale prices in H1 2026 ranged from £55,000 in the North-East and £65,000 in Scotland to £325,000 in London. More than four in five residential auction sales fell below £250,000, with 37% below £100,000 and 58% below £150,000.

Responding to the report, Stuart Collar-Brown, president of NAVA Propertymark, said: "EiG's latest report reflects how auction has firmly established itself as an important part of the property market. For sellers, it can provide speed and certainty, while for buyers it can open up opportunities to purchase a wide range of property.

"As auction becomes more familiar to the public, it is important that consumers understand what makes the process different from a traditional sale. Buyers should have access to clear information about the property, the legal pack and any additional costs, so they can bid with confidence and know exactly what they are committing to.

"This is particularly important for properties where there may be additional considerations, such as leasehold arrangements, works required or an existing tenancy. Clear and accurate information benefits everyone: it helps buyers make informed decisions while giving sellers confidence that their property is being marketed responsibly.

"For professional auctioneers, this is an opportunity to demonstrate the value of expertise. A successful auction is about more than securing a sale; it is about delivering a transparent, well-managed process that gives both buyers and sellers confidence.

"As the auction market continues to develop, maintaining those standards will be vital. Professionalism, transparency and good consumer information will help ensure that auction remains a trusted and attractive way to buy and sell property."

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