Revealed: The UK’s buy-to-let hotspot
Leeds is the best place in the UK for landlords looking for income, with a double digit rental yield, according to research from TotallyMoney.com.
The city currently offers landlords a yield of 10.79% while properties are relatively cheap to purchase, at a median asking price of just over £116,000.
The hotspot is followed by neighbouring Bradford (BS1), with a yield of 10.33% and nearby York (YO1) at 10.33%.
Areas in the South and Midlands fared less well, with Poole (BH13) coming out worst in the study at rental yields of 1.13%. A slew of London postcodes are yielding less than 2%, according to TotallyMoney.com, while the city’s average yield is 2.9%. In fact, the 10 lowest yielding postcodes, with the exception of Edgbaston and Holland Park in Birmingham, are all in Greater London, the south east and the south coast.
CEO of TotallyMoney.com, Alastair Douglas, said: “Due to rapidly growing property prices, London is often seen as the best place to invest in property. However growth rate isn’t always mirrored in rent prices.
“This research shows that investors looking for high yields on rental developments might see better returns from properties in the cities of northern England and Scotland.”