Belfast Buy-to-Let Guide

According to the Zoopla House Price Index, Belfast’s average property price in July 2023 stood at £168,200, a 1.2% decrease from the July 2022 price.

The nationwide average stands at £261,500. This is a 0.6% increase over the last 12 months.

In short, Belfast property prices are cheaper compared to the national average. They are also declining in price.

As such, 2024 has the potential to be a good time to invest in a Belfast home, with most experts suggesting that buying cheap and selling when property prices course correct in the future could be the right path for investors.

Learn More: Discover the costs of buy-to-let in 2024 or how to start investing in property with our updated beginner guides!

Landlords should conduct research into the local area before making buy-to-let investment decisions. This ensures they achieve their desired rental yield and buy a property right for their strategy.

In this section, we’ll be looking at the different Belfast postcodes. We’ll cover everything you need to know about the property market in those locations.

Disclaimer: All figures are based on statistics from housesforsaletorent.co.uk.

BT1 and BT2

These postcodes cover the Belfast city centre. With this in mind, property prices can either be high or low, depending on the neighbourhood. The postcodes are close to many job opportunities and transport links.

Average Property Prices in BT1 and BT2

The average property price of an investment property in BT1 is £1954,494. BT2 has an average price of £143,162.

Average Rental Yields in BT1 and BT2

The average rental yield in BT1 is 5.4%. BT2 has a yield of 7.6%.

Belfast BT4 includes Belmont, Sydenham and Stormont.

Average Property Prices in BT4

Average property prices in this area are £205,513.

Average Rental Yields in BT4

Average rental yields in this area are 5.1%.

Belfast is the largest city in Northern Ireland. It is also the capital. The city has a population of roughly 343,000. Greater Belfast has an estimated population of 570,000.

Here are some key reasons why Belfast is good for property investors.

Industry

Belfast used to be a central industrial hub for shipbuilding and linen manufacturing. In fact, the city’s shipyards were the birthplace of the RMS Titanic. The famous Samson and Goliath cranes are an integral part of the Belfast skyline.

Nowadays, Belfast’s economy is propelled by the following industries:

• Advanced engineering
• Creative and digital
• Financial and professional
• Hospitality and tourism
• Life and health sciences
• Technology

In addition, Belfast Harbour stands at the country’s foremost maritime gateway. This industry serves both the Northern and Southern Irish economies.

While the Troubles affected the economy in the past, the city now benefits from incredible growth. This continues to enhance the property sector.

Excellent Transport Links

Belfast boasts decent transport links to the rest of the country and Europe. For instance, three motorways connect the city to other Northern Irish areas.

The Translink railways allow easy travel to Londonderry, Bangor, Newry and other places. Meanwhile, the Enterprise links Belfast to Dublin.

The George Best City Airport is near the city centre, while Belfast International Airport is also in the area.

The city also connects to Cairnryan, the Isle of Man and Birkenhead via a ferry service.

Regeneration

Belfast has undergone many regeneration developments in the last twenty years. This effort has bolstered its economic – and buy-to-let – eligibility.

Some of these developments include:

• Victoria Square
• The Titanic Quarter
• The Laganside
• The Cathedral Quarter

Tourism

Tourism has become an important part of the Belfast economy. Many tourists use the city as a base to go to other parts of the city. As such, an Airbnb investment property could be a lucrative property type to take advantage of this market.

Belfast welcomes an estimated 9.5 million tourists every year, who spend over £417 million. This sector has created 22,000 jobs in the city.

Top tourist attractions include:

• The Titanic Belfast
• The Titanic Slipways,
• Belfast Zoo
• The Botanic Gardens
• Belfast Castle
• Crumlin Road Gaol
• The Ulster Museum
• The Stormont Estate
• The Linen Quarter

Students

Belfast has a considerable student demographic. Over 50,000 students go to Queen’s University Belfast and Ulster University.

Want to take a chance on a student rental property?

Check out the following areas:

• Lisburn Road,
• Ormeau Road,
• The Holyland,
• Botanic Avenue,
• Stranmillis Road.

These areas are popular with students due to their proximity to campuses.

As mentioned, there is a growing hunger within the property market for newly built developments.

However, compared to older residential properties, they often are expensive investments. 

One way to mitigate these costs is through off-plan investment, which allows buyers to purchase a property in the early stages of construction at a price discounted from the standard market rate.

By getting involved early, off-plan investors can also potentially see higher levels of capital appreciation in the long run, as well as the strong tenant demand usually seen with newly built properties.

The most desirable off-plan investments are likely found in large cities with significant levels of regeneration and solid infrastructure.

There could be solid off-plan opportunities available in Beflast, but investors may be able to find higher levels of affordability and capital growth in the North West (such as Liverpool and Manchester).