Survey finding
Short lease (under 80 years): mortgage, extension and how to handle it
Short lease flats produce two of the most common buyer surprises in conveyancing: lender refusal and the cost of extension. This page sets out how the 80-year cliff works, what marriage value adds to the bill, and how Section 42 notices are used in practice.
Last updated: 6 May 2026. Editorially reviewed: 20 May 2026.
Finding
Short lease (under 80 years)
What this usually means
Leasehold properties have a lease length that runs down each year. Once the lease drops below 80 years. The cost of extending it rises sharply because of 'marriage value', the freeholder's right to half the uplift in value the extension delivers. The Leasehold and Freehold Reform Act 2024 (Royal Assent 24 May 2024) abolishes marriage value and reforms valuation, and the High Court upheld these reforms against a freeholder challenge on 24 October 2025. The relevant valuation provisions still need secondary legislation to commence, so the 80-year rule continues to apply in practice for most extensions agreed today. Lenders apply their own minimum lease lengths (commonly 70 or 80 years remaining at end of mortgage term).
Why it matters
A short lease compounds two ways. The cost of extension grows as the lease shortens. And mortgage availability narrows because most lenders need a lease term that exceeds the mortgage by a comfortable margin (often 30–40 years). A 75-year lease on a 25-year mortgage is on the edge for many lenders; a 60-year lease is unmortgageable on most high-street panels.
Ask your surveyor
- Check:Has the surveyor confirmed the lease length from the title or lease document?
- Check:Are there any unusual lease clauses (escalating ground rent, restrictive covenants, forfeiture risk)?
Ask the seller
- Check:What is the current lease length and have any extensions been completed?
- Check:Has a Section 42 notice been served, and if so what is the freeholder's position?
Next steps
- •Get two written quotes from local trades before negotiating with the seller.
- •Speak to your mortgage broker before exchanging if the finding affects mortgageability.
Browse all findings
- Spray foam insulation
- Evidence of movement
- Damp
- Japanese knotweed
- Damp proof course issues
- Underpinning
- Cracks
- Roof issues
- Timber decay
- Electrical issues
- Non-standard construction
- Asbestos containing materials
- Roof covering needs repair
- Single skin wall construction
- Timber decay / wet rot
- Settlement cracks
- RAAC concrete
- Wall tie failure
- Party wall matters
- Drainage issues
- Subsidence monitoring
- Full electrical rewire needed
- Flat roof condition
- Cladding issues
- EWS1 form required
- Lintel failure
- Structural crack BRE category 3
- Structural crack BRE category 4-5
- Chimney stack movement
- Chimney flashing failure
- Parapet wall movement
- Bay window cracking
- Flat roof ponding
- Cold roof inadequate ventilation
- Warm roof insulation issues
- Prefab concrete construction
- Large panel system (LPS) construction
- Rising damp
- Penetrating damp
- Condensation vs damp distinction
- Dry rot (Serpula lacrymans)
- Woodworm
- Timber floor springiness
- Cellar / basement damp
- Outdated electrics (60-amp fuse board)
- Aluminium wiring
- Partial rewire needed
- Gas boiler condition
- Back boiler
- Unvented hot water cylinder issues
- Lead pipes (pre-1970)
- Lead paint
- Asbestos in Artex ceilings
- Asbestos floor tiles
- Asbestos cement roof
- Asbestos insulated board (AIB)
- Asbestos soffit boards
- Pointing / repointing needed
- Render cracking
- Pebbledash delamination
- UPVC window seal failure
- Sash window condition
- Flat roof membrane condition
- Zinc roof
- Felt roof condition
- Corrugated asbestos roof
- Cavity wall insulation issues
- External wall insulation issues
- No building regulations certificate
- No planning permission for extension
- Certificate of lawfulness needed
- Indemnity insurance required
- Neighbour dispute on file
- EPC F or G rating
- Oil heating property
- Off-gas-grid property
- Solar panel lease vs owned
- Ground source heat pump property
- Air source heat pump property
- Chimney breast removed without support
- Floor joist decay
- Wall bowing
- Mould and condensation
- Septic tank property
- Thatched roof condition
- Listed building restrictions
- Conservation area restrictions
- Restrictive covenants on title
- Coal mining area
- Coastal erosion risk
- Flood risk zone 3
- Radon affected area
- Contaminated land history
- Trees near building
- Party wall agreement outstanding
- EICR required
- Knotweed treatment history
- Single glazing condition
- RCD protection missing
- Damp-proofing guarantee transferability
- PRC (precast reinforced concrete) house
- Airey house
- BISF (British Iron and Steel Federation) house
- Timber frame construction
- Steel frame house
- Wet rot
- Heave (ground movement)
- Chimney condition and stability
- Short lease (under 80 years)
- Fire safety: flat and leasehold issues
- Blocked or condemned flue
- Spalling brickwork
- Diagonal cracks in walls
- Retaining wall condition
- Tanking failure in basement
- Missing or slipped ridge tiles
- Lead flashing condition
- Gutters and downpipes
- Double glazing condensation (failed units)
- Skylight or roof light condition
- Dormer condition and weathering
- Torn or missing sarking felt
- Chancel repair liability
- Easement or right of way
- Boundary dispute or unclear boundary
- Adverse possession risk
- Flying freehold
- Ground rent escalation clause
- High or variable service charge
- Extension without planning consent
- Loft conversion: no building regs
- Single-phase electrical supply only
- Shared or private sewer
- Blocked or collapsed drains
- Cesspit or septic tank
- Solid fuel heating
- No mains gas supply
- Low water pressure
- Private water supply
- Wimpey No-Fines concrete house
- Reema construction
- Unity or Boot construction
- Laing Easiform
- Cornish Unit house
- Cross-wall construction
- In-situ concrete construction
- Oak frame construction
- Radon: mitigation required
- Missing or inadequate fire alarms
- Single staircase: means of escape
- No earthing or bonding
Tool shortcut
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What you need to know
Severity
Serious. Lender and insurer involvement likely; structural or specialist remediation.
Typical cost to fix
Statutory lease extension (90 years added, ground rent reset) on a £400,000 flat with 80 years remaining: typically £6,000–£14,000 premium plus £2,000–£4,000 legal/valuer fees. Same flat with 70 years remaining: £18,000–£35,000+ premium. Same flat with 60 years remaining: £45,000+ premium. Always commission a specialist enfranchisement valuer.
Mortgage impact
Most mainstream UK lenders require at least 70 or 80 years remaining at completion, and at least 30–40 years at the end of the mortgage term. Short leases below these thresholds need specialist lenders or a lease extension agreed pre-completion. Some buyers serve a Section 42 notice (statutory lease extension) on exchange, with the freeholder's response forming part of completion.
Insurance impact
Lease length does not directly affect buildings insurance. The freeholder typically arranges block insurance for flats; the leaseholder pays a share via service charge.
When to pull out
Pull out if the lease is below your lender's minimum. The seller refuses to extend, and the cost of extension exceeds renegotiation headroom. A short lease is one of the more common deal-killers in flats.
When to renegotiate, and by how much
Get an enfranchisement valuer's estimate (£300–£800). Negotiate the lease-extension cost off the agreed price (best route), or ask the seller to serve a Section 42 notice and assign the right to extend at completion. Avoid completing without the lease extended or assigned.
Thinking of pulling out or renegotiating? What to do after a bad survey
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Check the property before you offer
Flood, subsidence, EPC, crime, schools, transport, broadband, tenure, age, listed status and price checks where data is available.
Run a free previewRead next
Ground rent escalation clause , often sits near short lease (under 80 years) on a survey and is the next thing to check.
Editorial review
Editorial owner: BiteRight Ltd, operator of MyPropertyScan. We review buyer guides against UK public property datasets, RICS survey wording, lender requirements, and common buyer questions.
Pages are updated when source coverage, property-risk guidance, survey cost assumptions, or product checks materially change. Methodology and dataset limitations are explained on the MyPropertyScan methodology page.
Sources used
We use UK public and specialist sources where they are available. Public datasets can be incomplete, delayed, or missing for some addresses. Treat them as a starting point, not as a replacement for professional advice.
Source standard: preference goes to official government datasets, statutory bodies, professional standards, and primary dataset publishers. We cite the source family on the page and explain coverage limits rather than filling gaps with unsupported estimates.