A new analysis suggests a growing need for professional management, with leasehold homes now accounting for almost a third of all properties lfor sale across England.
Rushbrook & Rathbone analysed current property listings across England, breaking down the proportion of freehold and leasehold homes available for sale.
It also identified the prevalence of short lease properties where fewer than 80 years remain.
The research shows that leasehold properties account for 32.4% of all homes currently listed for sale across England, rising significantly in certain parts of the country.
In London, leasehold stock predictably dominates the market, making up 64.3% of all listings.
However leasehold homes also account for a significant proportion of current for sale listings in a number of other regions.
In the North West the split is almost even, with leasehold homes accounting for 48.3% of available stock, with leasehold homes also accounting for a significant number of properties in the South East (27.9%), East of England (23.7%) and South West (20.8%).
Even in the East Midlands, where this proportion is at its lowest, leasehold homes still account for around one in 10 homes listed for sale (11.4%).
Unlike freehold homes, leasehold properties require landlords to operate within the terms of a lease, which can include restrictions on letting, maintenance responsibilities, and obligations relating to the wider building.
Whilst block managers oversee the building itself, individual landlords remain responsible for ensuring their property is managed in line with both regulatory requirements and the conditions of the lease.
This adds an additional layer of complexity when letting a property, as landlords must ensure they remain compliant not only with rental legislation, but also with the legal framework set out within the lease itself.
Further analysis also shows that a notable proportion of homes currently listed for sale fall into the category of short leasehold, where fewer than 80 years remain on the lease.
Across England, there are an estimated 1,445 such properties on the market, with the highest proportions found in the South East (24.2%), London (18.8%) and the East of England (17.0%).
Short lease properties present a particular challenge for landlords and investors, as lease length has a direct impact on mortgage availability, resale value and the long-term performance of the asset.
As the lease term diminishes, the cost of extending it increases, often resulting in a significant erosion of value if not addressed proactively.
As a result, landlords with leasehold properties often require a more informed and structured approach to management, particularly where understanding lease terms and working alongside block management arrangements is concerned.
