Student housing

Student housing is accommodation let primarily to full-time students, usually on a shared basis and concentrated near universities and colleges. In the private rented sector it ranges from purpose-built student accommodation (PBSA), blocks specifically designed and constructed for student use, to ordinary private houses and HMOs let to groups of students on a joint tenancy. The Renters' Rights Act 2025 has fundamentally changed how private student lets are structured: fixed-term assured shorthold tenancies aligned to the academic year were abolished from 1 May 2026, and most private student tenancies have converted to assured periodic tenancies. The sole mechanism by which a private landlord of a student HMO can now recover possession at the end of the academic year is the new statutory Ground 4A.

The private student HMO model

Most self-managing landlords in the student market let to groups of three to six students under a joint tenancy of an HMO. All students are jointly and severally liable for the full rent. Historically, the fixed-term AST aligned to the September-to-August academic year gave landlords income certainty, with possession at the end of the fixed term.

From 1 May 2026 that model no longer applies. All such tenancies are now assured periodic tenancies. The most important practical change for student HMO landlords is that any individual joint tenant can serve two months' notice to quit at any time, and under common law a valid notice to quit by any one joint tenant technically ends the entire tenancy, not just that tenant's individual share. Student HMO landlords should understand this risk clearly when planning occupancy for the coming academic year.

Ground 4A: the possession mechanism for student HMOs

Ground 4A is the mandatory statutory ground for possession specifically created by the Renters' Rights Act 2025 for student HMO landlords. If the conditions are met, the court must grant possession. The key conditions are:

Property type. The property must be an HMO, occupied by three or more people, at least two of whom are unrelated. Ground 4A is not available for smaller student properties occupied by only two people.

The student test. All tenants must have been full-time students at the start of the tenancy, or the landlord must have had reasonable grounds to believe they would become full-time students during the tenancy.

Re-letting intention. The landlord must intend to re-let the property to a new group meeting the student test for the next academic year.

Written statement. Before a new tenancy is entered into (from 1 May 2026 onwards), the landlord must give all tenants a written statement confirming that Ground 4A may be used. For existing tenancies that converted on 1 May 2026, landlords had until 31 May 2026 to serve this written statement on every named tenant, with transitional rules allowing only two months' notice (rather than the standard four) for possession notices served between 1 May and 31 July 2026.

Notice period. For new tenancies entered into from 1 May 2026, Ground 4A requires four months' written notice, expiring between 1 June and 30 September.

The six-month rule. For new tenancies entered into from 1 May 2026, the tenancy must not have been signed more than six months before the tenancy start date. This prevents landlords from signing students up in September for the following October's intake.

Student HMO landlords who need to track Ground 4A written statement deadlines, HMO licence renewals, and safety certificate dates can manage all of these in August's compliance checklist.

Purpose-built student accommodation (PBSA)

PBSA, buildings designed and built specifically for student occupation, typically managed by specialist operators, is exempt from the assured periodic tenancy regime, provided the landlord or manager is a member of a government-approved code of practice. From 1 May 2026, the approved code is the ANUK/Unipol Code of Standards for Larger Developments, published 27 February 2026. PBSA providers who are code members can grant new fixed-term tenancies outside the Renters' Rights Act framework and are not subject to Ground 4A.

Existing PBSA tenancies that were in place on 1 May 2026 converted to assured periodic tenancies along with all other ASTs, but PBSA landlords have access to a broader version of Ground 4A to manage the transition, without the three-person HMO requirement or the June-to-September possession window restriction that applies to mainstream private student landlords.

Council tax and student properties

A property occupied solely by full-time students is fully exempt from council tax under Class N of the Local Government Finance Act 1992. Students attending courses lasting at least one academic or calendar year with 24 or more weeks of study, tuition, or work experience in each year qualify for exemption. The exemption applies to the whole property if every occupier qualifies.

The council tax treatment depends on the tenancy structure. Where a student group rents the whole property under a single joint tenancy, the students are jointly liable for council tax, but the Class N exemption removes the liability entirely if all are qualifying students. Where students hold individual room-by-room agreements (the HMO council tax definition), the landlord is liable for the council tax bill, and again the Class N exemption applies if all occupiers qualify. If even one occupant is not a qualifying student, the exemption falls away, though that non-student may be entitled to a 25% single-person discount.

Void periods and the letting cycle

Student housing carries a structural void period risk between the end of one academic year and the start of the next, typically July to September. The traditional fixed-term AST allowed landlords to synchronise the letting cycle; that certainty is reduced under the periodic tenancy model. The restriction on rent in advance (landlords can now only require one month's rent in advance once a tenancy has started) also removes the cash flow certainty that semester-in-advance arrangements used to provide.

For a full practical guide to marketing, letting, and managing a student rental, including how to structure the Ground 4A documentation, see our guide to becoming a successful student accommodation landlord.

Frequently asked questions

Can a private landlord still offer a fixed-term tenancy to students?

Only if the landlord is operating genuine PBSA and is a member of the government-approved ANUK/Unipol code of practice. For mainstream private HMO landlords, fixed-term assured tenancies are no longer possible from 1 May 2026. All new private student lets must be assured periodic tenancies. Ground 4A replaces the fixed-term model as the mechanism for recovering the property at the end of each academic year.

What are the conditions for Ground 4A?

The property must be an HMO with at least three unrelated occupants. All tenants must have been full-time students at the start of the tenancy. The landlord must intend to re-let to a new student group. A written statement must have been given to tenants before the tenancy was entered into (or by 31 May 2026 for existing tenancies). Notice must be four months (or two months under transitional rules for existing tenancies in the 2025/26 cycle), expiring between 1 June and 30 September.

Do students pay council tax?

Properties occupied solely by qualifying full-time students are fully exempt from council tax under Class N. Where all occupiers qualify, neither the students nor the landlord pays council tax, the exemption applies to the whole property. The class N exemption disappears if any occupier is not a qualifying student, which can affect landlords mid-tenancy if a student drops out or a non-student moves in.

What happens if one student in a joint tenancy wants to leave?

Under a joint tenancy, any individual tenant can serve notice to quit on the landlord. Under common law, a valid notice to quit by one joint tenant ends the tenancy for all joint tenants, not just the departing student. This is one of the most practically disruptive implications of the Renters' Rights Act for student HMO landlords. The departing student's two-month notice clock starts running for all parties. Landlords should take this into account when structuring student lettings and consider whether individual room-by-room agreements (with all students on separate agreements) would reduce this vulnerability, albeit at the cost of the joint and several liability benefit.