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Landlord glossaryTenancy

Tenant in Situ

A property sold or bought with an existing tenant already living in it under a continuing tenancy. The buyer takes over as landlord and inherits the tenancy on its current terms, including the deposit, the compliance history and any arrears position.

Reviewed by Erdem VolkanLast reviewed 16 September 2026How we check facts

You inherit
The tenancy, deposit and compliance history
Common in
Portfolio and investor sales

Why it matters

What Tenant in Situ means for a landlord

Buying with a tenant in situ means instant rental income and no void, but you take the tenancy exactly as it is, including any unprotected deposit, missing gas certificate, or brewing arrears. Due diligence is everything: get the deposit protection details, the compliance documents and the rent-payment record before completion, because problems become yours the moment you own the property. Selling with a tenant in situ can widen your buyer pool to investors but usually narrows out owner-occupiers.

Worked example

How it plays out

Rhys buys a house in Nottingham with a tenant in place. Before completion he asks for the tenancy agreement, deposit protection certificate, prescribed information, gas and electrical records, EPC and rent statement. The deposit was never protected, so he requires the seller to deal with it before completion.
An illustrative example. Names, places and figures are made up.

Common mistakes

Where landlords go wrong

  1. 01Completing without checking the deposit was protected.
  2. 02Not getting the rent history.
  3. 03Missing an expired certificate that becomes your problem on completion.

What to do

A short checklist

  • Ask for every tenancy and compliance document before exchange.
  • Check the deposit is protected and will transfer to you.
  • Tell the tenant in writing who the new landlord is and the address for notices.

Sources

Checked against these sources on 16 September 2026. A guide to the rules in England, not legal advice: for a dispute or a possession claim, speak to a solicitor.