Flats with short leases are being marketed for an average of £48,250 less than the wider apartment market in England, according to new research.
House Buyer Bureau found that the average asking price of a short-lease flat currently stands at £170,201, compared with an average flat value of £218,451 – a difference of 22.1%.
The analysis compared current short-lease listings with the latest regional flat-price data available for May 2026.
Short leases can restrict the number of potential purchasers because many lenders impose minimum unexpired lease requirements. Buyers may also reduce their offers to reflect the likely cost of securing an extension.
YORKSHIRE RECORDS BIGGEST GAP
Yorkshire and the Humber recorded the largest difference, with short-lease flats marketed at an average of £82,675.
This was 35.2% below the region’s wider average flat price of £127,668, representing a difference of almost £45,000.
The North East followed with a reported discount of 32.7%. Short-lease asking prices were 30.7% below the wider flat market in the East of England and 30.1% lower in the West Midlands.
London recorded the smallest difference among the regions analysed. Despite having a comparatively large number of short-lease properties for sale, their average asking price was 11% below the capital’s wider flat market.
The comparisons do not isolate lease length as the sole cause of the price differences. Location, condition, property size and the remaining term of individual leases may also affect asking prices.
EXTENSION COSTS ADD TO PRESSURE
House Buyer Bureau says extending a lease can typically cost more than £12,500 when the remaining term is approaching 100 years, rising to more than £33,000 where fewer than 60 years remain.
Chris Hodgkinson (main picture, inset), Managing Director of House Buyer Bureau, says: “One of the biggest misconceptions is that a short lease only affects the value of your flat. In reality, it can affect whether you’re able to sell it at all.
“We regularly hear from homeowners who only discover their lease has become a problem once they put their property on the market. Buyers struggle to secure a mortgage, sales fall through and what should have been a straightforward move becomes a lengthy and frustrating process.
“The longer a lease is left, the more expensive it usually becomes to extend, while at the same time attracting fewer buyers.”
