Looking to invest in 2021? These UK cities offer landlords the best long term potential...
As we push into 2021, many of you across the UK will be looking at ways to increase your investment and make a little extra cash. Whether you’re looking to expand your property portfolio or become a landlord for the first time, buying a property in an up and coming area is still one of the smartest ways to invest. But which parts of the country are set to flourish in 2021? Here, we take a look at some of the UK’s most exciting up and coming areas.
It’s no secret that Manchester has become a magnet for students and young professionals in recent years and the arrival of the BBC to Media City UK has only strengthened demand for properties. Rental returns are consistently high and house prices look set to grow in the long term. Currently, only 0.5 percent of the city’s properties are vacant, so could be a good bet for landlords.
In recent years, Cambridge has become a great place to invest as house prices continue to grow at a considerable rate. In fact, it was recently declared to be the best performing city in the UK for house price appreciation. Cambridge is known as a university city but has much more to offer its residents. There are stunning parks, surrounding countryside, vibrant culture and the job market is strong - particularly in fields such as research, science and technology. There are also convenient transport links to London making the capital easily accessible for work.
With a consistent 6-7% rental yield in recent years, Cardiff continues to be a great place to invest in property. It offers residents a vibrant culture that is second to none - perfect for investors aiming at a younger demographic. Thanks to its Welsh heritage, it is a truly unique place to live with a top-class university and transport links to Bristol and London.
Brighton has always been a great place to visit. But it’s now a great place to live as well. The city is continually attracting new tenants and the average rental price is around £544 per room. The percentage of residents who privately rent is above the national average at 29%. In the summer, nearly half a million people visit as tourists, which supplements the demand for housing and accommodation.
Many places in Yorkshire have become attractive to investors and landlords, with some areas producing the highest yields in the country. But Hull, in particular, is producing a formidable average short-term yield at 9.2%. Hull has been revitalised in recent years and has attracted major investment during its spell as the ‘European Capital of Culture’ in 2018.
There’s plenty of reasons to head north of the border. Glasgow offers landlords a 9.1 percent yield on average and the city boasts an array of world-class culture, sport and universities. Recently cited by Time Out as one of the most exciting cities in the world, Glasgow is a place truly on the up - a safe bet for any budding investor.
As you can see, the UK has so much potential for property investors. If you’d like to discuss the best place for you to let in 2021, contact our team of property experts today.
Sources: Aldemore - Buy to Let City Tracker/Time Out: Best Cities in the World