The risks of the reletting ban and hidden void costs 

If you’re facing tenant turnover this year, you’ll notice the standard process for landlords has shifted. With the rollout of the Renters’ Rights Act, the end of Section 21, and the transition away from fixed-term tenancies – deciding whether to re-let your property or put it on the market requires careful consideration.

One of the most important changes to be aware of is the new restriction around regaining possession. If you end a tenancy because you plan to sell or move back into your home, there’ll be a 12-month ban on re-letting.

And mandatory notice periods can mean keeping your property off the rental market for a minimum of 16 months. In a slow sales market, this extended timeline introduces some unique challenges.

An unoccupied rental property can quickly become an issue for landlords. From strict unoccupancy clauses in your insurance policy to double council tax premiums, the practical challenge of keeping an empty home safe and well-maintained is complicated.  

Whether you are weighing up a sale or preparing to welcome your next tenant, we’ve broken down exactly what you need to consider to stay compliant and help protect your property.

The 12-month ban on reletting your property

Since Section 21 evictions are abolished under the Renters Rights Act, you’ll now need to regain possession of your property through a Section 8 notice. And depending on whether you plan to sell your property (Ground 1A) or move back in (Ground 1), you’ll use different grounds for repossession. 

But if you serve either of these notices to your tenant, you’ll be banned from re-listing the property as a rental for 12 months. But this 12-month ban only starts after your tenant has served their four months notice – which means you can’t relist your property for 16 months minimum.   

Landlords are struggling to sell 

Recent analysis by Hamptons highlights just how complicated the current market is for landlords – with even those looking to sell up,struggling to do so. Their data reveals that 51% of homes listed for sale by landlords in 2025 failed to sell, with the figure jumping to 60% for flats.

To put that in perspective, had the 12-month ban been active last year, an estimated 80,000 to 100,000 unsold rental homes would have been legally locked out of the rental market. 

This means landlords would need to absorb mortgage and maintenance costs with zero rental income to offset them – without knowing how long it would take to sell their property. 

According to Hamptons’ June 2026 data, the average number of days for properties to go under offer are:

• flats – 85 days 
• houses – 59 days 

So if you’re thinking of repossessing your property, it’s crucial you understand how long you’ll be blocked from relisting your property if it fails to sell. This means you’ll need to work out a strategy to cope with your potential loss of rental income.   

The hidden costs of a void periods

If a sluggish sales market or a failed re-letting strategy leaves your property empty for months on end, the loss of rental income is only the tip of the iceberg. Unoccupied homes actively bleed cash and expose landlords to severe physical and regulatory hazards.

Alex Woolf, Senior Insurance Product Manager at Simply Business, explains: “The risk profile changes significantly when a property sits unoccupied – ranging from an increased threat of theft to severe structural damage if the building isn’t actively maintained. A classic example is frozen pipes bursting during winter when nobody is around to notice.”

If your property sits vacant between tenancies, you must plan for three major potential issues:

1. Strict insurance occupancy rules

Standard landlord insurance policies contain strict unoccupancy limits. While the market baseline is often 30 days, limits can range from 30 to 180 days depending on your specific cover. Exceeding your policy’s limit without notifying your insurer can leave you completely uninsured.

Mark Sharman, Head of Claims at Simply Business, stresses that empty properties require active management to keep cover valid: “If someone is living in the property, you’re alerted quickly to damage – like storm harm or a minor leak – and can act to prevent further destruction. When unoccupied, a leak can go unnoticed for weeks.”

Mark goes on to say that insurers typically mandate specific precautions during void periods, which include:

1. Turning off main water stopcocks (or maintaining low heat in winter to prevent frozen pipes)
2. Turning off non-essential mains electricity while keeping security alarms live
3. Securing all doors and windows
4. Removing all waste 
5. Conducting and logging weekly property inspections

2. The empty property council tax premium

Councils across the UK are cracking down on unoccupied homes. Under current rules, if a property remains unoccupied and unfurnished for just 12 months, local authorities can charge a 100% empty property premium. This would effectively double your council tax bill. For properties left empty for longer, premiums can reach up to 200-300%.

And with all the recent changes to reletting, it’s more likely your property could be unoccupied for longer than you planned. 

3. Physical degradation and security risks 

Without regular heating and ventilation, condensation can build rapidly, leading to potential issues with damp and mould. And there’s always the risk with unattended homes attracting vandalism and squatting, which can lead to months of court proceedings and thousands in repair bills.

Getting someone to inspect your property at least once a week is the simplest way to stay on top of these risks. 

How insurance can support you during void period

The combination of new regulations adds a lot of uncertainty around void periods. The right insurance can give you peace of mind around rent guarantees, legal fees, and your property’s safety. 

With evictions becoming more complicated, Alex Woolf explains how certain covers can support you in challenging situations: “I think landlords are even more likely to require certain covers after the Renters’ Rights Act. With Section 21 gone, landlords will need a court hearing under Section 8, meaning legal expenses insurance is more important than ever. As there are now more rights in favour of tenants, it could make it easier for rent defaults to occur – so rent guarantee insurance is essential for protecting cash flow during possession disputes.”

And insurance can act as a safety net for those problems you can’t predict. Home emergency cover is designed to keep your property habitable during a crisis like a major leak or damage to the roof.    

Crucially, keeping your insurer informed about your property’s occupancy status makes sure your cover remains valid. As Mark Sharman explains: “If the landlord has complied with the unoccupancy conditions, we’ll accept the claim quickly and get the property back into the same state it was. We support the customer throughout their claim to get it settled as swiftly as possible so they can move forward.

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Common mistakes made between tenancies

Even standard changes in tenancies carry compliance and administrative traps that many landlords miss:

1. End-of-tenancy inspections: “During any period of re-letting, it’s critical that the landlord or agent carries out a thorough inspection immediately after the previous tenant leaves,” says Mark Sharman. “Compare the state of the home against your initial inventory. We frequently see damage claims reported only at this transition point, but without clear inventory records and evidence of regular annual inspections, proving malicious damage claims becomes much harder.”
2. Tenant type changes: If your tenant profile shifts during a re-let – for example, moving from employed professionals to students – you must notify your insurer immediately, as failure to disclose tenant changes could invalidate your policy.

More guides for landlords

• Landlord responsibilities – a guide to property maintenance and repair
• The UK regions where house prices could grow the fastest by 2030
• What tenants want in 2026 (and how often to decorate your property)
• Section 13 rent increase: a guide for landlords