"Leasehold properties introduce an additional layer of responsibility for landlords, as they are not only managing the tenancy, but also operating within the conditions of a lease"
- Susan Feasey - Rushbrook & Rathbone
Research by property management specialist Rushbrook & Rathbone highlights how the structure of the housing market is shifting, with leasehold homes now accounting for 32.4% of all properties currently listed for sale across England.
The findings point to a growing need for landlords to adopt more structured approaches to managing rental assets.
Leasehold dominates in key regions
The data shows that leasehold properties make up a significant share of housing stock in several regions, with London leading the trend. In the capital, leasehold homes account for 64.3% of all listings.
However, the trend extends well beyond London. In the North West, leasehold properties represent 48.3% of homes on the market, while other regions also show notable shares:
- South East, 27.9%
- East of England, 23.7%
- South West, 20.8%
- East Midlands, 11.4%
This regional spread highlights how leasehold ownership is not confined to metropolitan areas but is increasingly embedded across the wider UK property market.
What leasehold means for landlords
Leasehold property management introduces additional obligations compared with freehold ownership. Landlords must comply not only with rental regulations but also with the terms set out in the lease.
These can include restrictions on letting, specific maintenance responsibilities, and coordination with block management companies that oversee communal areas. While block managers handle the building itself, landlords remain accountable for ensuring their individual property meets both legal and lease requirements.
This dual layer of responsibility adds complexity, particularly for buy-to-let investors managing multiple properties or operating across different regions.
Short leases add further pressure
The research also identifies a segment of the market where challenges are more acute. Across England, an estimated 1,445 properties currently listed for sale have fewer than 80 years remaining on the lease.
The highest concentrations of these short-lease properties are found in:
- South East, 24.2%
- London, 18.8%
- East of England, 17.0%
Short leasehold homes can present risks for landlords and investors. Lease length directly affects mortgage availability, resale value, and long-term rental yields. As leases approach the 80-year threshold, extension costs typically rise, which can erode asset value if not managed early.
Growing role for professional management
“Leasehold property introduces a level of complexity that simply doesn’t exist with freehold ownership,” said Susan Feasey, associate director – block management at Rushbrook & Rathbone.
“Leasehold properties introduce an additional layer of responsibility for landlords, as they are not only managing the tenancy, but also operating within the conditions of a lease. This means understanding what is and isn’t permitted, coordinating with block management, and ensuring that both regulatory and lease obligations are met."
She added, "It’s also important to recognise the impact that lease length can have on the value of a property. As a lease begins to shorten, particularly as it approaches the 80-year threshold, the cost of extending it can rise significantly, and this can have a direct impact on both mortgageability and resale value."
"What we’re seeing is a market where a significant proportion of property requires a more hands-on, structured approach to management. As a result, professional property management is increasingly being viewed not as an optional service, but as an important part of protecting both the value of the asset and the long-term performance of an investment.”
Her comments reflect a wider shift across the sector, where landlords are placing greater emphasis on structured oversight, compliance, and long-term planning.
What this means for landlords
For landlords operating in the leasehold sector, the findings reinforce the need for a more proactive management strategy. This includes:
- Understanding lease terms in detail before letting
- Monitoring lease length and planning extensions early
- Coordinating effectively with block management firms
- Ensuring full compliance with both lease and regulatory requirements
As leasehold properties continue to account for a significant share of the UK property market, the operational demands on landlords are likely to increase. In response, professional property management is becoming a core part of maintaining rental income, protecting asset value, and ensuring long-term investment performance.
