Top 10 regions for buy-to-let are in North England

 In Property

Buy-to-let in North England appears to be flourishing compared to the South.

New research from Property Partner sampled 100 British towns and cities. It found that the top 10 regions for buy-to-let are all in the North.

Here’s an overview of their findings, plus suggestions as to what this all means for the market as a whole:

Top 10 regions for buy-to-let in the UK

Region Annual rental yield
Leeds 6.92%
Liverpool 5.96%
Gateshead 5.78%
Stoke-on-Trent 5.67%
Rochdale 5.60%
Newcastle 5.59%
Oldham 5.46%
Middlesborough 5.00%
Stockton-on-Tees 4.81%
Rotherham 4.31%

What do these findings mean for buy-to-let investors?

In short, the Property Partner study shows times are relatively good for buy-to-let in North England.

Other key findings include:

  • It’s easier for investors to enter the market if their income is high compared to local property prices.
  • Investors will earn more if properties command a high rental rate relative to property price.
  • Demand has pushed up property prices in the South, and resulted in lower rental yields.
  • Low rental yields undoubtedly correlate with an inefficient property investment.

Commenting on the findings, Property Partner founder Dan Gandesha stated: “What our research reveals is a clear North-South divide in the investment opportunities facing buy-to-let landlords.

“We have always been at pains to point out to investors that prime locations such as Kensington and Chelsea can offer some of the lowest yields available, because prices have raced ahead while rents have failed to keep pace.

“You shouldn’t always follow the crowd and the right investment could be on your doorstep.”

With successive pieces of government legislation putting the squeeze on buy-to-let investors, it pays to know the market and get specialist financial advice.

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