Editor's note: This brief was summarised by The Property AI Team from a report by Property Industry Eye. Read the original article for full details.
Section 21 Deadline Drives Surge in Possession Claims
Landlords rushed to beat the final Section 21 court deadline in July, resulting in a sharp rise in possession instructions. New figures from Landlord Action show that possession instructions were 28% higher than a year earlier, making July one of the firm’s busiest months of the past year outside the spike seen before the Renters’ Rights Act came into force.
Almost a third of all new instructions related to landlords issuing proceedings before the 31 July deadline, after which valid Section 21 notices could no longer be relied upon unless court action had already begun. Landlord Action reported that their phones were exceptionally busy throughout July, with staff working extended hours to handle enquiries from landlords seeking to preserve their ability to regain properties under the previous rules.
The report highlights that many landlords left it until the final days to seek advice or progress a claim. Instructing a solicitor immediately before the deadline did not guarantee that a claim could be issued, as each case and document had to be carefully reviewed to avoid rejection due to errors.
Landlord Action’s figures also provide early insight into how landlords are using the revised Section 8 possession grounds introduced from 1 May. Among new possession cases recorded in July, 39% involved rent-related grounds (Grounds 8, 10, or 11). Ground 1A, which allows a landlord to regain possession when they intend to sell, featured in 30% of cases, while Ground 1, used when the landlord or a family member intends to occupy the property, accounted for 8%. A further 29% involved other grounds, with some cases relying on more than one ground.
The report notes that the new system is more evidence-led, requiring landlords to demonstrate that the ground they are relying on genuinely applies. Each ground has its own conditions, notice requirements, and evidential tests. The situation is expected to become clearer as more cases progress through the new process and reach the courts.
Source: Property Industry Eye