Can a tenancy agreement have an electronic signature?

Since Covid-19 in particular, the digital revolution has enabled streamlined non-contact processes such as electronic signatures and electronic transfer of documents. With this in mind, it’s no surprise that many landlords are asking whether a tenancy agreement can have an electronic signature.

The short answer is usually yes. In the UK, electronic signatures can be legally valid on most tenancy agreements. In fact, it’s quite common these days, particularly among letting agents. It’s just important to ensure that the signing process shows clear intent to sign and you can evidence what was signed, by whom and when. 

Many landlords are moving to e-signatures for the convenience that they provide. They’re quicker than ‘wet’ signatures (signing a document with a pen), open opportunities when renting remotely and lend themselves to audit trails. 

This guide explains when a tenancy agreement electronic signature is valid, and what landlords should do to keep the evidence watertight. 

Tenancy agreements with an electronic signature

In short, yes, tenancy agreements can have an electronic signature. They will be legally valid on most tenancy agreements, as long as the signer intends to authenticate and any required formalities are met (such as witnessing).

Make sure that you use a reputable e-signature platform with tamper-evident documents and an audit trail that shows who signed, what they signed and when. Store the final signed PDF, plus completion evidence, with your tenancy file.

Tenancy agreement digital signature: Is it legal?

Landlords often use ‘digital signature’ to mean e-signing in general; technically, a digital signature is a more secure type of electronic signature.

Most standard residential tenancy agreements are straightforward contracts, and these are commonly e-signed. The signing process simply needs to show clear intent with evidence of what was signed, by whom and when. The Law Commission’s position is that an electronic signature is a legal way of signing a document if the signer intends to authenticate it and any required formalities are met.

It can get a little more complex when dealing with long leases or deed-style documents. These may need to be completed as a deed and perhaps even then registered. Whilst electronic signatures are still possible in these scenarios, you must be careful to follow the extra formalities.

In short, tenancy agreement electronic signatures are generally fine for standard residential lets. For long or unusual lets or anything that involves registration, use a stricter signing process.

What other tenancy documents are commonly e-signed?

It’s not just tenancy agreements that are commonly signed using an electronic signature. Alongside this, you can e-sign the following documents:

• Renewal agreements
• Inventory lists
• Holding deposit declarations
• Tenancy application declarations
• Guarantor documents (but be careful, as these are often done as deeds)
• Receipt acknowledgements for things like the How to Rent guide, EPC, gas safety, EICR, etc.

Tenancy agreement digital signature pitfalls

Whilst digital signatures are a practical way to get paperwork signed, there are some pitfalls to be aware of. Landlords typically tend to get caught out when a document needs to be executed as a deed, or has deed-style formalities such as witnessing. Whilst electronic signatures can still work here, you must follow the extra rules.

Deed document situations

We’ve mentioned ‘deeds’ a few times – but what exactly are we referring to? A ‘deed’ is essentially a more formal type of document used for certain property and legal transactions. You’ll know if you’re dealing with a deed, as the document itself will usually specify. There are a few common landlord scenarios where deeds crop up. 

Longer leases or property transactions

If you are creating or transferring a legal interest in land, it usually requires a deed. This doesn’t apply to short leases that don’t exceed three years.

Dispositionary deeds affecting registered land

For anything that needs to be registered (or would typically be handled like a conveyancing step), such as certain leases, transfers and legal charges, you may end up with a deed that needs to meet Land Registry requirements. 

Anything labelled a deed by a solicitor/agent

You might come across a Deed of Guarantee, a Deed of Variation or a Deed of Surrender. If it’s presented as a deed, treat it as one and apply deed formalities. If the signing page asks for a witness name, signature and address, you’re very likely in ‘deed rules apply’ territory.

Witness-needed situations

Another big thing to look for is witnessing. The Law Commission’s position is that electronic signatures can be used on documents, including deeds, where the parties intend to sign, and the usual formalities are met.

Electronic signatures are possible in these situations; however, if the deed needs a witness, the witness must be there in person when the other person applies their electronic signature. Zoom or FaceTime won’t cut it!

If you find yourself in this situation, use a reputable electronic signature platform that creates a timestamped audit trail and a final ‘locked’ PDF. Arrange for the signer and witness to be together at the time of signing and make sure that the witness signs or attests and adds their details as the deed requires.

Tenancy agreement electronic signature best-practice step-by-step

So, you want to use tenancy agreement electronic signatures. Follow our simple electronic signature best-practice step-by-step to ensure that you do all the right things.

1. Find a reputable electronic signature platform that offers an audit trail, tamper-evident PDF and signer authentication. Think DocuSign eSignature, Adobe Acrobat Sign or Dropbox Sign (HelloSign).
2. Verify your signer’s identity by checking their email or phone number. You could also consider ID checks for higher-risk cases.
3. Send for signature in the correct order (landlord/agent/tenant/guarantor)
4. Ensure witnessing is done properly if and when required.
5. Store the signed agreement securely.

Make sure you save all evidence and anything that can aid you in the event of a dispute. You want to be able to show who signed, when, how and which version was signed. Keep the completion certificate, IP/device logs (if available), email trails and copies of the final PDFs.

Electronic signatures are a practical and legally recognised way to sign most UK tenancy agreements. Note that Scotland can require higher-assurance e-signatures (AES/QES) for many property documents, and rules differ. 

For many landlords, they actually prefer this method to paper because a good electronic signature platform produces a clear record of who signed, what they signed and when. Not only this, but it can speed up move-ins, reduce errors and make it easier to evidence the agreement in the event of a dispute.

Electronic signatures aren’t a loophole or a shortcut. They’re a modern, defensible way to do lettings paperwork. But remember – even with watertight paperwork, problems can still arise. If you haven’t reviewed your landlord insurance protection recently, this is a good time to do so. Speak to our team of specialists today and make sure your existing policy offers all the coverage you need, or contact us for a quote.