What does “Lease” mean?

A lease is a legal agreement (contract) that gives someone the right to occupy and use a property for a fixed period of time, usually in return for payments such as ground rent and service charges (common in flats). In simple terms, you own the right to live there for the lease term, but you do not own the land forever unless it’s freehold. In the UK, leases can be long (often 99, 125, 250 years) or short (for example, under 80 years), and the remaining lease term is a key factor when applying for a mortgage in 2026.

What kind of conditions do mortgage lenders insist on when lending where a lease extension is involved?

In 2026, lenders typically want reassurance that the property will remain good security during the mortgage term. That often means they may require one or more of the following, depending on the case:

Confirmation of the current unexpired lease term and how it affects mortgageability

Details of ground rent and whether it escalates (because this can affect affordability and resale)

Service charge details and any major works planned (because costs can rise)

Evidence that a lease extension is already in progress, completed, or realistically achievable

Solicitor confirmation where a lease extension is being completed at the same time as the purchase

They are not usually focused on “rent paid into the lender’s bank account” in normal residential leasehold purchases (that wording sounds more like a landlord/tenant rental scenario), but they do focus heavily on lease length, ground rent terms, and the property’s ability to be sold later.

Why do mortgage lenders check the length of a lease?

Because the lease length affects resale value and how easy it will be to sell the property if the lender ever needs to repossess. As a lease gets shorter, the property can become harder to mortgage, and the value can drop. In 2026, many mainstream lenders still have minimum lease requirements, and they often want the lease to last not just today, but also beyond the end of the mortgage term by a certain margin.

What lease length is usually considered “short” for a mortgage?

A lease is commonly considered “short” once it drops below around 80 years, because:

Mortgage options can narrow

Resale can become harder

Lease extension can become more expensive

That “80-year” point matters a lot in practice because it is often a threshold in the lease extension world, and many buyers and valuers take it seriously.

What type of property would qualify for a short lease mortgage?

Typically, any leasehold property (often a flat, sometimes a leasehold house) with a lower remaining term — commonly under 70–80 years — may need a more specialist approach. Some lenders will still consider it if the lease is extendable or if an extension is being arranged as part of the transaction, but it depends on the lender, the property, and the solicitor’s plan.

How long should my lease last before applying for a mortgage in 2026?

Many mainstream lenders prefer a lease that is comfortably above 80 years. Some will consider applications where the lease is around 70+ years, but it becomes more restrictive the shorter it gets. The key is not just the number today — lenders often look at how many years will remain at the end of the mortgage term as well. For example, a 75-year lease might be possible on a shorter mortgage term, but could be harder on a longer term, depending on the lender’s policy.

Should I extend my lease before buying or remortgaging?

Often, yes — if the lease is approaching or below 80 years, extending can protect the property’s value and improve mortgage options. In 2026, it’s risky to rely only on “estate agent promises” that an extension is easy. A better approach is to speak with a solicitor experienced in lease extensions and check what is realistically possible, the likely cost, and the timeline.

How do you get a mortgage on a leasehold property?

In most cases, getting a mortgage on leasehold is straightforward if the lease is long and the terms are reasonable. A sensible 2026 process is:

Confirm the remaining lease years early (before you spend on surveys)

Check ground rent terms and whether there are sharp escalation clauses

Review service charges and whether major works are planned

Use a broker if the lease is short or the ground rent terms are unusual

Ensure your solicitor is comfortable with lender requirements

If the lease is short, you may need a plan to extend the lease as part of the purchase or soon after completion.

What is a statutory lease extension process?

A statutory lease extension is a legal right (in qualifying cases) that allows a leaseholder to extend their lease by a set amount. A common example you’ll hear is adding 90 years to the existing lease term for flats under the statutory route, so a 75-year lease could become 165 years. Exact eligibility and rules depend on the property and circumstances, so legal advice is important.

What are the main things to consider when getting a mortgage on a short lease property?

In 2026, the big points lenders and buyers focus on are:

Remaining lease term (and what will be left at mortgage end)

Ground rent amount and escalation pattern

Service charges and planned major works

Whether a lease extension is possible, underway, or completed

Property saleability (valuer confidence matters a lot)

Total affordability when leasehold costs are included

What does “leasehold” mean when buying a house?

Leasehold means you own the right to live in the property for a set number of years, but not the land permanently. You may pay ground rent and service charges, and you must follow the lease terms. Leasehold is very common for flats, and less common for houses (though it exists). With houses, buyers often prefer freehold, but some leasehold houses can still be perfectly mortgageable if the terms are fair and the lease is long.

What is “short term mortgage finance”?

Short term mortgage finance usually means borrowing for a short period (often months up to a couple of years) as a temporary solution — for example, bridging finance or short-term secured lending. This is different from a standard residential mortgage. It’s commonly used when a property is not currently mortgageable (for example, due to condition or short lease) and the plan is to refinance later once the issue is resolved.

Why won’t some mortgage lenders lend on short lease properties in 2026?

Because short leases can be harder to sell and can lose value quickly. Lenders don’t like uncertainty around whether the buyer can extend the lease, what it will cost, and how it affects resale. Even if the buyer is financially strong, the lender can still decline if the property is seen as weak security. That said, specialist lenders and certain scenarios (like a lease extension being completed alongside purchase) can improve the chance of success.

Can I still get a mortgage if the lease is below 70 years?

Sometimes, but it’s much more specialist. Options depend on:

Exactly how many years remain

Whether a lease extension is already agreed/in progress

Ground rent and service charge terms

The lender’s minimum lease requirements

The mortgage term you need

In many cases, the cleanest route is arranging a lease extension as part of the purchase or using a short-term finance solution with a clear refinance plan.

What’s the best approach in 2026 to avoid wasting time and fees on a short lease purchase?

Confirm the lease term and ground rent terms before you spend heavily on valuation and solicitor fees. If the lease is close to or below 80 years, assume it will affect lender choice and resale. If it’s very short, go in with a clear plan: either extend the lease during the transaction (where possible) or ensure you have a realistic exit strategy if using short-term finance.

Your home may be repossessed if you do not keep up repayments on your mortgage.