Southport Buy-to-Let Guide

According to Rightmove, the average price of a property in Southport over the past year was £237,403. This is cheaper than the overall UK average of £287,782, as stated by the UK House Price Index.

Rightmove states that house prices in Southport are 1% down on the previous year and 4% up when compared to 2021.

In the past year, the UK housing market has been subdued overall, making the modest dip in prices in Southport fairly standard for the whole country.

But does this sluggishness look set to continue?

According to Savills’ residential forecast, nationwide price growth is set to return from 2025, with a return to healthy growth predicted from 2026 onwards. The outlook for the North West, in particular, is sunny, with a forecast of 20.2% leading up to 2028, which is positive news for Southport. When buying buy-to-let property, it’s important to stay informed about the latest property market forecasts.

Southport is considered a comfortable area to reside within a convenient distance of Liverpool, the nearest major city.

For those who want to be closer to Liverpool, areas of Sefton located to Southport’s south, such as Formby, Ainsdale, and Birkdale, are the best bet due to the closer proximity and good public transport links. These upmarket areas are also known for beaches, nature reserves, and golf courses. But this does come with a bigger price tag, especially when it comes to Formby.

However, suburbs to the north of Southport, Churchtown, for example, are less expensive on average. There are also other settlements further north, such as Banks and Tarleton, which are technically part of West Lancashire.

Formby

Average Property Prices in Formby

The average property price in this area is £363,204.

Average Rental Yield in Formby

The average rental yield in this area is 2.87%.

Average Property Prices in Churchtown

The average property price in this area is £229,632.

Average Rental Yield in Churchtown

The average rental yield in this area is 4.47%.

Average Property Prices in Tarleton

The average property price in this area is £338,197.

Average Rental Yield in Tarleton

The average rental yield in this area is 3.21%.

(Average property prices were taken from Rightmove in late 2023/early 2024, and rental yield estimates were calculated with figures from housesforsaletorent.co.uk in late 2023/early 2024)

What is the Best Area of Southport to Invest in?

The best value properties can be found north of Southport town centre in areas like Churchtown and Banks. These areas are convenient for driving into central Southport, which could be a selling point for renters, and the rental yields are more promising than those to the south of Southport.

As mentioned before, suburbs like Formby are popular residential areas with many attractive points, but the property is likely to be too pricey to secure a generous yield.

For those interested in short letting, location is key, and visitors to the town will want to stay within Southport Town Centre. The most desirable properties will be those close to the waterfront and the main shopping streets.

Holiday Lets

Southport has a long tradition of tourism, and the sector is the biggest employer in the town. So, this area may interest investors looking for a property appropriate for short letting.

Short lets and holiday lets are increasingly popular as buy-to-let opportunities in the UK as yields can be much higher than standard residential rental properties, provided the property is in an in-demand location and seasonal pricing is well-researched.

However, it’s worth noting that most visitors to Southport don’t stay for an extended period as it has an image as a day-trip destination rather than a vacation spot. The local council has put forward ideas for nighttime attractions to encourage more overnight stays.

Regeneration

Southport is known as a relatively affluent area, but some of its attractions and historical features have declined in recent years.

For this reason, the local government has put forward plenty of regeneration plans to revamp Southport.

Many of the schemes will be targeting the waterfront. Southport Pier has already benefited from extensive restoration, and a new waterside events centre, all-weather visitor attractions and new nighttime attractions are also on the cards.

There are also various schemes to reinvigorate the town centre. In particular, Lord Street, one of Southport’s main shopping streets, has been targeted for further rejuvenation work.

Keeping up to date with regeneration plans is one way for investors to gauge which areas will grow in capital value and also help you guess which areas will be in demand in the future, thanks to job creation and attractiveness to residents. For something different why not read about the not Martin Lewis best way to invest 50k guide or our how to invest £100k in property in 2024.

Property investment trends are pointing towards new builds in recent years, which is also leading to growing interest in off-plan investment.

Off-plan investment involves investing in a property while it is still in the planning or construction phase, allowing the investor to acquire it at a lower price.

As new build properties are more common in major cities, it’s also likely that opportunities for off-plan property investment will be far more numerous in a big city. For this reason, there may not be much scope for off-plan property investment in Southport, and it may be worth looking at nearby cities such as Liverpool.

Further Reading: Learn more about this investment strategy with our 2024 area guides, covering everything from off-plan property in Chesterfield to the latest UK hotspots!