What is a rental bidding war?
A rental bidding war happens when prospective tenants offer more than the advertised rent to secure a property, or are encouraged to do so during the lettings process. Under the Renters’ Rights Act, once a property has been advertised at a stated rent, landlords and letting agents cannot invite or accept a higher amount from competing applicants.
What are the rules on advertised rent?
If a property is advertised in writing, the advert must include one specific rent figure. Landlords and letting agents cannot advertise a rent range, encourage tenants to bid against each other, or accept an offer above the advertised rent.
For landlords and agents, that means the asking rent needs to be set carefully at the start of marketing. The price shown in the advert is the price the property is being offered at.
What counts as a written advert?
Government guidance says a written advert can include:
- online property listings
- printed adverts
- social media posts
- emails, texts and direct messages
A “to let” board outside a property does not count as a written advert for these rules.
What does the ban mean for landlords and letting agents?
The ban means landlords and letting agents must market rental properties with a clear, fixed asking rent and follow that advertised price through the application process. They cannot use competing offers to increase the rent once the property has been listed in writing.
It also makes accurate record-keeping more important. Keeping copies of property adverts, applicant communications and tenancy paperwork can help show that the letting was handled in line with the rules. Councils can request evidence where they suspect a breach.
What does the ban mean for tenants?
For tenants, the ban creates a clearer and more transparent application process. Applicants should be able to decide whether a property is affordable based on the rent advertised, without being pushed into offering more than another tenant.
What happens if the rules are broken?
Local councils are responsible for enforcement. Government guidance says a first breach can lead to a civil penalty of up to £7,000, with further penalties possible for repeated non-compliance within 5 years. Councils may ask for evidence such as the advert, tenancy agreement and related communications.
