How To Find And Keep Good Tenants

Finding good tenants was never really about referencing. It was about how you advertise, who you attract, and whether the people who move in want to stay.

That matters more since May 2026, because tenants can now leave on two months' notice, and getting a property back is considerably harder than it was. Retention has quietly become the whole game.

The short version

• Blanket bans on benefits and children are unlawful, in adverts as well as in decisions.
• Bidding above the advertised rent is illegal. You must publish an asking rent.
• One month's rent in advance is the maximum, and there's no pet deposit.
• Keeping a good tenant is now worth far more than squeezing an extra £40 a month.

The advert does most of the filtering

An honest, detailed listing attracts people who want that property and repels people who'd be disappointed by it. A vague one attracts everyone and wastes your time.

Include the actual figures: rent, deposit amount, EPC rating, council tax band, what heating it has, whether there's parking. Say plainly what the property isn't. "Second floor, no lift" saves everyone a viewing.

What you must not do:

• No "no DSS", "no benefits", "professionals only" or anything with the same effect. Blanket bans on benefit claimants are explicitly unlawful under the Renters' Rights Act, and were already likely to be indirect discrimination.
• No blanket ban on children, also explicitly unlawful.
• No "no pets". Tenants have a right to request one and you can't refuse unreasonably.
• No inviting offers above the asking price. You must publish an asking rent and it's illegal to ask for or accept more.

You can still assess affordability properly. What you can't do is exclude a whole category of people before looking at them.

Referencing that's actually useful

Most referencing tells you whether someone met a fixed income multiple. The useful parts are elsewhere.

• Speak to the previous landlord, not the current one. A current landlord who wants rid of someone has every reason to give a glowing reference.
• Ask specific questions. Was rent on time? How was the property left? Were repairs reported promptly? Would you let to them again?
• Assess affordability sensibly. Benefits, pensions, savings and irregular self-employed income are all income. A rigid multiple excludes plenty of reliable tenants.
• Be proportionate about guarantors. Requiring one from everyone is a blunt instrument, and requiring one only from certain groups risks discrimination.
• Right to Rent checks still apply. Do them the same way for everyone, because doing them selectively is discrimination.

You can't charge for any of this. Referencing fees, admin fees and guarantor fees are all prohibited payments.

What you can and can't take up front

Worth getting right, because the penalties are real and tenants increasingly know the rules.

• Holding deposit: maximum one week's rent, with clear rules on when it must be returned.
• Deposit: five weeks' rent where annual rent is under £50,000, six weeks above. Protected within 30 days, with prescribed information served.
• Rent in advance: maximum one month, or 28 days for shorter rental periods.
• Nothing else. No admin, referencing, inventory, check-out, renewal or guarantor fees. No required professional cleaning. No pet deposit and no compulsory pet insurance.

Get the start right

Most of what goes wrong later is set in the first fortnight.

• Give the written information about the key terms before the tenancy is agreed. The How to Rent guide was withdrawn on 1 May 2026 and this replaced it.
• Gas safety certificate, EICR and EPC, all current, all handed over.
• Protect the deposit within 30 days and serve the prescribed information. Getting this wrong costs one to three times the deposit and blocks possession routes.
• Do a thorough inventory with photographs, and give the tenant a real chance to comment. This protects you far more than it protects them.
• Working alarms on day one.
• Hand over a property that's genuinely clean and working. It sets the standard you'll get it back in.

Keeping them, which is the actual point

A void month, re-letting costs, referencing and an unknown new tenant is far more expensive than most landlords calculate. Against that, the things that make a good tenant stay are cheap.

• Fix things quickly. The single biggest driver of whether a tenant stays. Same-day acknowledgement, a realistic timescale, and then meet it.
• Answer messages. Being ignored is what turns a minor issue into a formal complaint.
• Give proper notice for access, 24 hours in writing, and agree a time rather than announcing one.
• Be reasonable about rent. An increase at exactly market rate on a tenant who might otherwise stay three more years is often a bad trade.
• Say yes where you can. A pet, a redecoration, a lodger. Cheap goodwill, and the pet rules mean you need a fair reason to refuse anyway.
• Invest ahead of failure. Replacing a fifteen-year-old boiler beats four emergency callouts and a tenant who spent February cold.

Keeping a good relationship with tenants.

What changed, and what it means commercially

Since 1 May 2026:

• Section 21 is abolished. Possession requires a specified ground, proved in court.
• All tenancies are periodic. No fixed terms, and tenants leave on two months' notice.
• One rent increase a year, two months' notice, prescribed form, challengeable at tribunal.
• Rent arrears ground now requires three months' arrears at both notice and hearing, with four weeks' notice.
• A landlord ombudsman and a PRS Database are coming in the next phase, with mandatory membership and registration.

The commercial reading is straightforward. Turnover is more expensive and slower to manage than it used to be, and your compliance record now determines whether you can get possession at all. Both point the same way: find people you'd be happy to keep, and then keep them.

What the Act changed.

Where landlords lose good tenants

Consistently, and avoidably:

• Slow repairs, then surprise that the tenant left
• Going quiet on messages
• Turning up without notice
• Pushing rent to the top of the market on a reliable long-term tenant
• Refusing a pet without a fair reason
• Hunting for deposit deductions at check-out over fair wear and tear
• Deferring maintenance until something fails in December

The honest summary

Advertise honestly and lawfully, reference proportionately, take only what you're allowed to take, and get the paperwork right at the start because it decides what you can do later.

Then keep them. Fix things quickly, answer messages, give notice, and be reasonable at review. That is now the cheapest strategy available, not just the decent one.

And encourage your tenants to review you. Good landlords are invisible to the next tenant, and a public record of doing it properly is worth more than any advert.

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This guide covers England and reflects the Renters' Rights Act 2025 as in force from 1 May 2026. Wales, Scotland and Northern Ireland differ. General information rather than legal advice. Sources: GOV.UK, Renters' Rights Act overview for landlords, GOV.UK, Tenant Fees Act guidance.