Cashback Remortgages · Property checks
Buying a Property With a Short Lease
A short remaining lease can make a flat difficult to mortgage and to sell later. Understanding lease length and extension is essential before buying.
Why lenders care
Lenders usually require a minimum remaining lease term, often well beyond the mortgage term, because a short lease reduces value and saleability. Below certain lengths, extension becomes more expensive and complex.
The exact remaining term should be confirmed early.
Lease extension
A lease extension can restore mortgageability and value but has its own legal process, cost and eligibility rules. Sometimes the seller starts the process, or a price adjustment reflects it. Take legal advice.
Sources and further reading
General mortgage information, not a personal recommendation. Lender criteria and scheme rules can change. Ask an adviser about your circumstances and a solicitor or tax adviser about legal or tax questions. Your home may be repossessed if you do not keep up repayments on your mortgage. Most buy-to-let mortgages are not regulated by the FCA.
Discuss the next step for your mortgage
Understand your options before you make a decision.