Notify your tenant when you sell the property — practical guidance on the outgoing landlord's obligations and the new owner's statutory duty
Who Has the Legal Obligation?
The statutory obligation to notify the tenant of a change of landlord falls on the new owner (the buyer), not the outgoing landlord. Section 3 of the Landlord and Tenant Act 1985 requires the new owner to give written notice to the tenant of the disposal and their name and address within two months of the disposal. The outgoing landlord's separate obligation under Section 48 LTA 1985 is to ensure the tenant has a written address in England or Wales for service of notices. This letter is sent by the outgoing landlord as a courtesy and practical necessity — it is not a substitute for the new owner's Section 3 obligation.
Even though the Section 3 obligation falls on the new owner, it is good practice for the outgoing landlord to write to the tenant on or shortly after completion. This:
[Your name]
[Your address]
[Date of completion]
[Tenant name(s)]
[Property address]
Re: Sale of [property address] — Change of landlord
Dear [tenant name(s)],
I am writing to inform you that the sale of [property address] completed on [date of completion]. The property has been transferred to the new owner, whose details are set out below.
New landlord details:
Rent payments
With effect from [date], please make all future rent payments to [new owner's name] using the following bank details:
Your tenancy
Your tenancy continues on exactly the same terms as before. The sale of the property does not change your rights as a tenant or the terms of your tenancy agreement. The new owner takes on the tenancy on the same terms and is bound by the same obligations as I was.
Your deposit
Your deposit of [£amount] is currently protected with [deposit scheme name], reference [reference number]. [The new owner will be taking over responsibility for the deposit / I have transferred the deposit to the new owner — delete as applicable.] You will receive separate confirmation of the deposit arrangements from [the deposit scheme / the new owner].
It has been a pleasure having you as a tenant. I wish you well, and I hope the transition to the new ownership is straightforward for you.
Yours sincerely,
[Your name]
[Phone number]
[Email address]
The new owner must also write to the tenant to comply with their own Section 3 LTA 1985 obligation. Section 3 requires the new owner to give written notice to the tenant of:
This notice must be given within two months of the disposal. If the new owner fails to give this notice, they commit a criminal offence (a summary offence under Section 3(3) LTA 1985). The outgoing landlord's letter above does not discharge the new owner's Section 3 obligation — the new owner must send their own notice.
If you are the new owner (the buyer), ensure you write to the tenant within two months of completion. The letter above can be adapted for this purpose.
The deposit position on sale requires careful handling:
Take advice from your solicitor on the deposit transfer as part of the conveyancing process.
Disclaimer
Guidance only. Landlord Handbook provides practical information to help landlords understand their responsibilities. It is not legal or financial advice. Always check the latest GOV.UK guidance and seek professional advice where appropriate.