Is It Better to Sell a Block Vacant or Tenanted?
January 2, 2026
Selling a block of flats with tenants in situ is often faster and more attractive to investors. This guide explains how it affects value, risk, and your exit strategy.
What “tenants in situ” means
How it affects block valuation
Pros and cons for landlords
Buyer appetite in today’s market
When selling tenanted makes sense
FAQs
Next steps
Tenants in situ means the flats are sold with existing tenants remaining in place. The buyer takes over the tenancies, rent income, and management responsibilities.
For blocks of flats, this is increasingly the default way investors buy, particularly since changes to possession law.
Blocks are valued primarily on income and risk, not vacancy.
Buyers will assess:
Total rental income
Arrears history
Tenant profile
Lease lengths
Compliance and management quality
A fully occupied block with stable rent can be more valuable than a vacant one, especially to yield-focused investors.
Selling a tenanted block can:
Avoid eviction delays and court risk
Preserve rental income until completion
Attract experienced investors
Reduce upfront costs
Enable faster completion
In many cases, it removes the need to rely on possession grounds entirely.
Tenants in situ may:
Increase perceived risk
Reduce buyer pool to investors only
Lower value if arrears or compliance issues exist
However, these factors are usually priced into the valuation rather than preventing a sale.
Most professional buyers prefer:
Immediate income
No void periods
No refurbishment delays
With Section 21 abolished, many buyers actively avoid vacant possession strategies altogether.
Selling with tenants in situ is often best if:
You want a quick sale
Tenants are long-term
Possession grounds are uncertain
Court delays would strain cash flow
The block has mixed tenancy dates
Will tenants block the sale
No. Tenants do not need to leave for a sale to complete.
Do tenants need to be notified
Tenancies transfer automatically to the new owner.
Does rent arrears stop a sale
No, but arrears will affect valuation.
If you’re considering selling a block of flats with tenants in situ, understanding investor expectations is key.
Citywide Blocks buys blocks:
Fully tenanted
With arrears
With compliance or management issues
Call 0113 323 0678 for a free, confidential valuation.
At Citywide Blocks, we specialise in buying and resolving problem blocks of flats across the UK no matter the issue. From costly
