Chatham is the largest town in the Medway unitary authority area in north Kent, sitting alongside Rochester, Gillingham, Strood and Rainham. The town has one of the highest concentrations of private rented housing in the South East, with a significant proportion of the local workforce employed in the defence sector (Chatham Dockyard heritage businesses), Medway NHS Foundation Trust, Chatham Maritime retail and commercial hub, and the University for the Creative Arts. Entry prices for terraced houses typically range from £150,000–£220,000 with gross yields of 6–9% — making Chatham one of the most compelling yield markets in the South East.
Medway Council has been one of the most active local authorities in England in designating selective licensing areas. Several wards in Chatham and Gillingham have active selective licensing schemes, meaning all privately rented properties in those wards — regardless of size or occupancy — require a selective licence from Medway Council. Landlords must check the current Medway licensing map before letting any property in the Chatham area.
Medway selective and additional licensing
Medway Council operates selective licensing schemes in designated wards under Section 80 of the Housing Act 2004. Key points for Chatham landlords:
- Selective licensing applies to ALL privately rented properties in designated wards — not just HMOs — regardless of the number of occupants or household composition
- Current selective licensing wards in the Medway area include parts of Chatham, Gillingham and Strood — check the Medway Council licensing map for your specific property postcode
- Selective licence conditions typically require: annual gas safety certificate, 5-yearly EICR, working smoke alarms, CO alarms, EPC Band E minimum, Right to Rent checks, and tenancy agreement copies on council request
- Operating without a required selective licence is a criminal offence — unlimited fine on conviction or civil penalty of up to £30,000
- Tenants can apply for a Rent Repayment Order covering up to 12 months' rent paid while the property was unlicensed
- Mandatory HMO licensing also applies in Medway to all properties with 5 or more persons from 2 or more households — apply to Medway Council
Renters' Rights Act 2025 — key obligations for Chatham landlords
From 1 May 2026, all residential tenancies in England including Chatham and Medway operate under the Renters' Rights Act 2025 framework:
- Section 21 no-fault evictions abolished — all possessions must use a statutory ground from the new Schedule 2 of the Housing Act 1988
- Fixed-term tenancies cannot be granted for new lets from 1 May 2026 — all tenancies are periodic from the first day
- Tenants can end any tenancy with two months' written notice at any time
- Property Portal registration is mandatory before any property can be let — the Portal opens 1 May 2026
- PRS Ombudsman membership is mandatory from 1 May 2026 for all private landlords in England
- Rent increases must use the statutory Section 13 notice — contractual rent review clauses have no effect
Energy Performance Certificate (EPC) requirements
EPC compliance for Chatham landlords:
- Current minimum: EPC Band E — properties below Band E cannot be let without a valid PRS Exemptions Register entry
- EPC Band C is confirmed government policy for 2030 — new lets from 2028 are likely to require Band C
- Chatham's Victorian and Edwardian terraced housing stock often requires cavity wall insulation, loft insulation, and boiler replacement to reach Band C
- For pre-1900 solid wall properties, solid wall insulation (external or internal) may be required — costs can exceed the proposed £15,000 cost cap, enabling a cost cap exemption
- Selective licence conditions require EPC Band E minimum — ensure your property meets this before applying for or renewing a selective licence
Gas and electrical safety
Safety certificate requirements for Chatham rental properties:
- Annual gas safety check (CP12) by a Gas Safe registered engineer — mandatory under the Gas Safety (Installation and Use) Regulations 1998
- CP12 must be provided to new tenants before occupation and to existing tenants within 28 days of each annual check
- Five-yearly EICR (Electrical Installation Condition Report) — mandatory for all private rented properties in England; code C1 and C2 defects must be fixed within 28 days
- Smoke alarms required on every storey; carbon monoxide alarms in every room with a gas appliance — mandatory under the Smoke and Carbon Monoxide Alarm (Amendment) Regulations 2022
- Both certificates are typically required as part of the Medway selective licence application and must be kept current throughout the licence term
Deposit protection
Deposit obligations for Chatham landlords:
- All deposits must be protected in a government-approved scheme — DPS, myDeposits or TDS — within 30 days of receipt
- Prescribed Information must be served on the tenant within 30 days of receiving the deposit
- Maximum deposit: 5 weeks' rent for annual rents under £50,000; 6 weeks' rent for annual rents over £50,000
- Failure to protect on time prevents valid Section 8 service and exposes the landlord to a penalty of 1–3 times the deposit
- Chatham's relatively lower rents mean the 5 weeks cap is unlikely to be breached, but always verify the exact weekly equivalent when setting the deposit amount
High Speed 1 commuter market
Chatham's rental market is supported by High Speed 1 rail access:
- Chatham station provides direct services to London St Pancras International via High Speed 1 — journey times from around 40 minutes
- HS1 connectivity has driven increasing demand from London professionals priced out of Zone 5–6 commuter areas, supporting rental yields and reducing void risk
- Military sector tenants from nearby bases provide additional demand — remember that service personnel may have specific statutory rights to terminate tenancies early on deployment
- Medway Council's regeneration programme (Chatham Waters, Rochester Riverside) is bringing new employment and residential development — well-maintained compliant properties benefit from the improved perception of the area
- High rental demand means compliant, well-managed properties have strong void protection, but non-compliant properties risk both enforcement action and reputational damage in an increasingly tenant-aware market
Frequently asked questions
Does Chatham have selective licensing?+
Yes. Medway Council operates selective licensing schemes in designated wards that cover areas of Chatham, Gillingham and Strood. All privately rented properties in designated wards require a selective licence from Medway Council regardless of size or occupancy. Always check the Medway Council licensing map for your specific property postcode before letting.
When does the Renters' Rights Act apply to Chatham landlords?+
The Renters' Rights Act 2025 came into force on 1 May 2026 and applies to all private rented properties in England, including Chatham and Medway. From that date, Section 21 is abolished, all new lets are periodic, and landlords must register on the Property Portal and join the PRS Ombudsman before letting any property.
What EPC band does my Chatham property need?+
Currently Band E is the minimum. The Government has confirmed Band C as the target by 2030. Chatham's Victorian and Edwardian terraced stock may require significant improvement works to reach Band C. Medway selective licences also require EPC Band E minimum — ensure compliance before applying for or renewing your selective licence.
How do I check if my Chatham property needs a selective licence?+
Visit the Medway Council website and use the selective licensing postcode checker. Licensing schemes are designated by ward and renewed periodically — the designation for your ward may change, so check again when renewing or when the licence term expires. Operating without a required selective licence carries an unlimited criminal fine or a civil penalty of up to £30,000.