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The property market just got a massive shake-up with the Renters' Rights Act 2026. Don't let the new rules scare you off, here are 5 things every landlord needs to know to stay profitable. Read our latest guide to see how Hunter Capital can help you navigate your next buy-to-let mortgage.
If you’ve been keeping an eye on the news lately, you’ll know that the property world is about to look a lot different. As of today, Sunday, 15th of March 2026, we are only a few weeks away from the Renters' Rights Act officially coming into force on May 1st.
If you’re a landlord in Oldham or looking to jump into the buy-to-let market for the first time, you might be feeling a bit of "information overload." At Hunter Capital, we’re all about making the complex bits easy. We know that when the government starts changing the rules, it can feel like the goalposts are moving. But here’s the secret: for every new regulation, there’s a way to adapt and thrive.
In this post, we’re going to break down the five biggest ways the May 2026 Renters' Rights Act changes the game for buy-to-let mortgages and what you need to do to stay ahead of the curve.
1. The End of "No-Fault" Evictions (Section 21 is Gone)
This is the big one everyone is talking about. From May 2026, Section 21 evictions are officially a thing of the past. Under the old rules, a landlord could ask a tenant to leave at the end of a fixed term without needing a specific reason.
Now, you can only regain possession of your property if you have a valid legal reason. This could be because the tenant is in rent arrears (which now requires three months of debt instead of two), you want to sell the property, or you want to move back into it yourself.
How this affects your mortgage:
Lenders look at "risk." In the past, the ability to quickly recover a property made buy-to-let mortgages feel "safer" for some banks. Without Section 21, some lenders might tighten their criteria or look more closely at your experience as a landlord. However, don't worry, most lenders have been preparing for this for years. If you’re working with a broker like us at Hunter Capital, we can point you toward our lenders who understand these changes and won't penalise you for a shift in the law.
2. All Tenancies Are Now "Periodic"
Gone are the days of the 6-month or 12-month fixed-term Assured Shorthold Tenancy (AST). As of May 1st, all tenancies, including existing ones, automatically become "statutory periodic tenancies."
What does that mean in plain English? It means there is no fixed end date. A tenant can give you two months' notice to leave at any time. On the flip side, if you want them to leave for a valid reason (like selling up), you generally have to give them four months' notice.
Why it matters for investors:
The loss of fixed terms means your "certainty" of income has shifted. Lenders usually calculate your mortgage affordability based on the expected rental yield. If a tenant can leave more easily, lenders might be more conservative with their valuations. This is where having a solid buy-to-let strategy is vital. We help you present your application in a way that shows the property’s long-term viability, even without those fixed-term contracts.
3. Rent Increases Are Capped and Regulated
We know that costs are rising for everyone, and occasionally, you need to adjust your rent to keep up with your mortgage payments. The new Act changes how you can do this.
You are now limited to increasing the rent only once per year. You must give at least two months' notice, and the increase must reflect the "market rent." Tenants can now challenge an increase at a tribunal if they think it’s unfair. Importantly, the tribunal can’t set a rent higher than what you originally asked for, but they can certainly lower it.
The Hunter Capital Take:
Yield is king. If you’re looking at refinancing your portfolio, you need to be very careful with your numbers. Because you can’t just hike the rent whenever you like, your initial mortgage setup needs to be spot on. We help you find products with the right interest rates so that your profit margins aren't squeezed by these new restrictions.
4. The Rise of the "Professional Landlord"
The Act is effectively pushing out the "accidental" or "hobby" landlord. To stay in the game, you now have to be a professional. This involves:
- National PRS Database: All private landlords must register themselves and their properties. No registration means you can't use the legal grounds for possession.
- The Ombudsman: You must join a new Landlord Ombudsman scheme to resolve disputes.
- Decent Homes Standard: For the first time, private rentals must meet the same quality standards as social housing.
- Awaab’s Law: You are now legally required to fix serious hazards like damp and mould within strict timeframes.
How we help:
Becoming a professional landlord often means moving your properties into a Limited Company structure or looking at HMO mortgages for higher returns. This is where we shine. We can walk you through the pros and cons of different structures to ensure your "professional" setup is as tax-efficient and mortgage-friendly as possible.
5. Changes to Tenant Selection and Upfront Payments
The way you choose tenants is changing, too. You can no longer have blanket bans on people receiving benefits ("No DSS") or families with children. You also can’t encourage "bidding wars" for rent, you have to advertise a single price and stick to it. Plus, you’re limited to taking only one month’s rent in advance.
While this might feel like you're losing control, it’s actually an opportunity to broaden your tenant pool. In areas like Oldham, there is a massive demand for quality family homes. By embracing these changes, you open your doors to long-term tenants who want to make your property their home for years, reducing your "void" periods (the times when the property sits empty).
Why It’s Still a Great Time to Invest in Oldham
You might be reading this and thinking, "Naz, this sounds like a lot of hard work. Is buy-to-let even worth it anymore?"
The answer is a resounding yes.
Even with the Renters' Rights Act, the fundamental problem in the UK hasn't changed: we don't have enough houses. Demand for rental property is at an all-time high, especially in thriving hubs like Oldham. While the rules are stricter, the potential for capital growth and steady rental income remains strong, provided you have the right advice.
The "amateurs" are leaving the market because they find the new rules too complex. That leaves more opportunities for serious investors to pick up properties. If you’re prepared to be a professional, compliant landlord, you’ll find that you have less competition and a more stable rental market.
How Hunter Capital Can Help You Navigate the May 2026 Changes
At Hunter Capital, we don't just find you a mortgage; we find you a future. We know the Oldham market inside out, and we stay on top of every legislative change so you don't have to.
Whether you are looking for commercial mortgages, development finance to upgrade a property to the new Decent Homes Standard, or just a simple buy-to-let remortgage, we’ve got your back. We take the jargon, the paperwork, and the stress, and we turn them into a simple plan that works for you.
Frequently Asked Questions (FAQs)
Q: Do these changes apply to my existing tenants?
A: Yes. From May 1, 2026, all existing tenancies convert to the new periodic system, and the new rules on evictions and rent increases will apply.
Q: Can I still get a mortgage if I’m a first-time landlord?
A: Absolutely. While some lenders prefer experience, many are happy to lend to newcomers who show they understand the new compliance rules. We can help you find the right ones.
Q: Will the Renters' Rights Act make mortgages more expensive?
A: Not necessarily. Mortgage rates are driven more by the Bank of England and global markets. However, your "deal" depends on how much rent you can prove you'll receive. That's why getting the rent right under the new one-increase-per-year rule is so important.
Q: Is Oldham a good place for buy-to-let under the new rules?
A: Oldham remains a fantastic spot for investment. With local regeneration and strong demand, property values and yields in the area continue to be competitive compared to the rest of the North West.
Ready to grow your portfolio?
Don't let the May 2026 changes catch you off guard. Whether you’re worried about Section 21 or just want to make sure you’re getting the best rate on the market, we’re here to help.
Book a free mortgage consultation with Hunter Capital today and let’s make sure your property business is ready for the future.