Bidding wars used to belong to the sales market. Then, for a few years, they crept into lettings, with tenants offering more than the asking rent just to get a viewing past the post. Since 1st May 2026, under the Renters' Rights Act, that has been against the rules in England. Five months on, the effects are showing up in the numbers. According to Landlord Today, advertised rents in Greater London averaged £2,448 in September, 6.1% higher than a year earlier, and one agency says landlords are listing higher at the outset because they can no longer be bid up afterwards.
If you let property, or are about to, this is the practical question: how do you set and advertise a rent that is right first time? We have put the answers in question-and-answer form.
What exactly does the rent bidding ban say?
Three things. Any advert or listing for a residential let must state a specific rent figure. Landlords and anyone acting for them cannot invite, encourage or accept offers above that figure. And that applies to unsolicited offers too: if a prospective tenant volunteers more, you still cannot take it.
Offers below the advertised rent are not banned. A landlord can still agree a lower figure if they want a particular tenant or a quicker move-in.
Does it apply to agents as well as landlords?
Yes. The rule covers landlords and anyone acting on their behalf, directly or indirectly. That includes letting agents, online portals' listing partners and friends who help you find someone. If you use an agent, check how they handle enquiries and that their adverts show one clear price. Our letting agent checklist for landlords is a good place to start.
What does a compliant advert look like?
- A single figure: state the rent as one monthly amount, not a range or 'offers over'.
- No hints: avoid wording such as 'strong interest expected', 'best offer secures' or 'rent negotiable upwards'.
- Consistency: the rent in your advert, your messages and your tenancy agreement should all match.
- Honest terms: say clearly what is and is not included, such as bills, parking or furnishings.
What if I get lots of interest?
Good news, but you cannot use it to push the price up. You can choose between applicants on legitimate grounds: references, affordability, move-in date and tenancy length. You cannot choose the one who offers the most. Keep a short record of how you picked, so that if anyone asks, you can show it was about suitability and not about money.
Remember too that you cannot refuse a tenant simply because they receive benefits or have children. Those blanket bans are also outlawed under the Act, so decisions need to rest on the individual's circumstances.
Can I still raise the rent later?
Yes, but only once a year and only through the proper process, using a section 13 notice. Our guides to the Section 13 rent increase process and the Form 4 rent increase notice explain how. A tenant can challenge an increase at the First-tier Tribunal, which can only set a rent at market level, so your starting figure and later increases should both be defensible.
How should I choose the right asking rent?
Because the advertised figure is now the ceiling, pricing matters more than it used to. Set it too low and you are stuck with it for at least a year. Set it too high and the property sits empty, which costs more than a small rent shortfall. A sensible approach:
1. Look at comparable properties currently advertised in your street or postcode, not just those that let months ago.
2. Check recent achieved rents with an agent, since they see the final figures and not just the asking prices.
3. Allow for the condition and the extras: a freshly decorated home with a garden and parking justifies more than a tired one without.
4. Think about the true cost of a void. A month empty usually outweighs a small rent premium for the year.
5. Review after two weeks. If enquiries are thin, you can reduce the advertised rent; if they are strong, record what you learned and price accordingly next time.
Rents are rising in many areas, which our look at the UK rental market and record rents covers in more detail. But the market is local, and what holds in London may not hold in your town.
What happens if I get it wrong?
Local councils enforce the ban. A breach can lead to a civil penalty of up to £7,000, and repeated or serious breaches can bring penalties of up to £40,000 or prosecution. In most cases a clear, honest advert and a consistent process will keep you well clear of any of this. The risk grows when informal chats, text messages or a rushed agent cause the rent to be nudged up behind the scenes.
Rent in advance is also restricted, so do not try to recover the difference by asking for large upfront payments. Our guide to tenancy deposit protection rules covers what you can and cannot take at the start of a tenancy.
Quick checklist before you list
- Agree a single asking rent and write it down.
- Make sure every advert, portal listing and message shows the same figure.
- Brief anyone helping you (agent, family, friend) on the ban.
- Choose tenants on references and suitability, never on who offers more.
- Keep records of how you made your decision.
- Diarise a rent review for the anniversary of the tenancy, not before.
Want it handled for you?
Getting the price, the advert and the tenant selection right is exactly what our team does every day. Our tenant find service covers marketing, viewings, referencing and the tenancy paperwork for a flat fee, and our fully managed service carries on after move-in, with rent collection, repairs and compliance looked after. If you are weighing up whether to keep the property at all, you can also sell your home for a flat fee rather than a percentage.
The ban is not designed to trip landlords up. Advertise honestly, price realistically and pick tenants fairly, and you will be on the right side of it.
