Buy to Let
Which seaside town is best for buy-to-let investors?
One Northern seaside town can lay claim to the highest rental yields in England and Wales for landlords
Landlords who purchase investment property within the Hull postcode area can enjoy rental yields of up to 10.7% in seaside resorts like Withernsea, according to LendInvest.
And their outlay is modest, as the online property investment firm said that properties in the northern city are just £70,000.
According to the LendInvest But-To-Let Index, which looked specifically at coastal towns to find the top average rental yields for landlords, the next best area is Blackpool, where property prices average £70,000 and average rental yields are 8.2%.
The postcode area of Llandudno in North Wales took the third spot where buyers in Colwyn Bay can pocket a healthy rental yield of 6.1% and average property prices stand at £132,250.
At the bottom of the table of the top earning towns is Southend-on-Sea, drawing a rental yield of up to 4.4%.
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While Brighton may spring to mind as a good location for buy-to-let investors, landlords buying here will only be able to achieve up to 5.2%.
Christian Faes, co-founder and chief executive of LendInvest, said: “Seaside towns often enjoy strong demand from renters, whether that’s for year-long tenancies or for a couple of weeks over the holiday months.
“However, it’s crucial that would-be property investors do their research on the area to gauge just how much demand there is, and what sort of competition they face. It’s not enough to rely on the allure of ice cream and sea air!”