When Should You Extend Your Lease? The 80-Year Warning

The 80-Year Threshold: Still Relevant in 2026

The Leasehold and Freehold Reform Act 2024 abolished marriage value — the additional premium that was payable when a lease had fewer than 80 years remaining. In terms of pure premium calculation, the 80-year threshold is therefore less financially significant than it used to be.

However, there are still compelling reasons to act before your lease drops below 80 years, and the vast majority of conveyancers, mortgage brokers, and property professionals will advise you to extend before reaching that point.

Why Mortgage Lenders Are Still Cautious

Most high street mortgage lenders will not lend against a flat where the lease has fewer than 70–85 years remaining at the end of the mortgage term. Each lender sets its own minimum, but a common rule of thumb is that the lease should have at least 70 years left at the end of a 25-year mortgage — meaning the lease needs to be around **95 years** to satisfy this requirement comfortably today.

Some lenders apply a stricter floor of 85 years unexpired at the time of application. If your lease is at or below 80 years and you need to remortgage, you may find your choice of lender is severely restricted, and the rates available less favourable.

The Problem for Buyers

Even if you own your flat outright (no mortgage), a short lease creates problems when you come to sell. A buyer who needs a mortgage — which is the majority of buyers — may be unable to get one if your lease is too short. This effectively removes a large portion of the market from your potential buyer pool, suppresses your sale price, and can cause sales to fall through at the conveyancing stage.

As a rule of thumb, aim to have at least **90 years** on the lease when you sell, accounting for the time needed to find a buyer and complete the conveyancing process.

The Cost of Waiting

Although marriage value has been abolished, the other components of the premium — ground rent capitalisation and reversion value — still increase as the lease shortens. The shorter the lease, the larger the reversion value the freeholder is giving up, and the more you pay. A proactive extension at 95 years will be cheaper than the same extension at 75 years.

There is also a practical delay to account for: the statutory process from serving a Section 42 notice to completion of the new lease typically takes 6–18 months. If your lease is currently at 82 years and you start now, it could be below 80 years by the time the new lease is completed unless you proceed quickly.

What About the Right to Extend Immediately After Purchase?

The two-year ownership rule has been removed by the 2024 Act. You can now serve a Section 42 notice as soon as you complete a purchase — you no longer need to wait. If you are buying a flat with a short lease, you could simultaneously exchange on the purchase and instruct a surveyor to prepare for an immediate notice.

Practical Guidance

• Check your lease term now. The remaining years are stated on your title register, which you can obtain from HM Land Registry for £3.
• If you are at 90 years or below, start planning an extension today.
• If you are at 80 years or below, act urgently.
• Use our [Lease Extension Calculator](/lease-extension-calculator) to estimate the premium at your current term versus acting sooner.