The Liverpool buy to let market has received a lot of attention over recent years. A dynamic city full of rich culture and history, Liverpool has one of the most thriving UK economies. Back in 2017, Liverpool topped the score tables as the number one property hot spot. With a winning combination of low property prices and high rental yields, it’s easy to see why. Today, the city continues to outrank many other UK areas, and Liverpool postcodes boast some of the best rental yields in the country. If you’re keen to find out how to invest in property for lucrative returns, Liverpool should be top of your list.
Investors from across the globe are making use of Liverpool rental returns. From 2017 to 2018, there was a 160% year on year increase in Chinese buyer enquiries into Liverpool property. Liverpool’s economy has grown faster than other similar sized British cities. Between 1998 and 2016, the economy increased by a factor of 2.1. Thanks to events like the 2008 European Capital of Culture and the Liverpool Giants, Liverpool has come a long way since the difficulty of the 1990s. Liverpool is now a major UK tourist spot, with an excellent restaurant scene, great shopping and nightlife, and endless cultural attractions. With such affordable Liverpool property prices, many people now recognise the appeal of living in the city. The average house price in Liverpool is just £130,677, while more expensive areas like London have an average of £484,173. Not only do more people view buying property in Liverpool as an attractive option, but the city is also filled with those seeking quality rental properties. Liverpool has a large population of young people, with 75 per cent of the city centre’s residents being between the ages of 17 and 29. Liverpool’s students and young professionals are constantly looking for rental properties, maintaining a steady demand for buy to let investors.
Whether you’re seeking education or want to work in Liverpool, this city has everything you need. With four major universities, the student scene in Liverpool is booming. Both the affordability of the city and the buzzing start-up scene mean Liverpool is the perfect place for budding entrepreneurs. From regeneration plans to opportunities for business and investment, this city is equally perfect for people looking for property to let in Liverpool or those who want to invest in property in Liverpool.
What are the best buy to let areas in Liverpool?
The best buy to let areas in Liverpool are L7, L6, L1, L8, L3 and L5. The success of these postcodes is down to the high average rental yields, growing demand, and capital growth potential. L7 has an average rental yield of 11.79%, while L6 boasts average yields of 11.52% and L1 follows behind at 9.36%. The postcode L8, home to the up and coming Baltic Triangle, has average rental yields of 5.8% and welcomes demand from young professional tenants. The L3 postcode has average rental yields of 7.3% and the L5 postcode offers average yields of 9.2%, providing plenty of great options for Liverpool buy to let investments.
There are lots of things to do and see in the best buy to let areas Liverpool offers. The L8 and L1 postcodes span throughout the Baltic Triangle area of the city. With a range of great restaurants and bars, the Baltic Triangle was named one of the coolest UK neighbourhoods back in 2017. With the Baltic being just a short walk from the main attractions of the city centre, Liverpool’s young tenants will enjoy living in this creative and trendy hotspot. As one of the leading property investment companies Liverpool has to offer, we pride ourselves on bringing you great new developments in the best buy to let postcodes in Liverpool. Our One Baltic Square property, based in the heart of the Baltic Triangle, is available to buy from £121,950 with guaranteed net rental returns of 7% for one year.
Liverpool’s L3 postcode is another one to watch for 2019 and beyond. This postcode houses the Fabric District, a Liverpool area undergoing some major renovations through the Knowledge Quarter’s regeneration project. Known for its history as the centre of Liverpool’s rag trade, the Fabric District is quickly becoming one of the city’s hippest new areas. Plans exist to revitalise the neighbourhood, making it more welcoming to the city’s residents, new businesses, and investors.
Another of the best buy to let postcodes in Liverpool, L5 boasts average yields of around 9.2%. This area will see regeneration under the £150 million scheme, Project Jennifer. Project Jennifer is set to update the area significantly. This will bring a new supermarket, homes, public spaces and shops to Great Homer Street.
Why is Liverpool becoming the buy to let property hotspot in 2019?
Liverpool is becoming the buy to let hotspot for 2019 thanks to the fact that the city boasts impressive rental yields, a strong level of demand, affordable property prices and potential for capital growth. Research from Hometrack in 2018 revealed that Liverpool is the fastest growing city in the UK, with annual price growth of 7.5%. So how much are house prices rising in Liverpool? The average Liverpool house price has risen by almost 21,000 in five years. In 2019 and beyond, Liverpool property prices are predicted to grow even further. This vibrant city already boasts the fastest growing city centre population. The number of people living in Liverpool city centre has doubled in the last decade. Throughout 2019, demand for rental properties in Liverpool is expected to rise, with the city’s thriving knowledge and business sectors attracting a growing number of talented young people.
Why should I Invest in the Liverpool buy to let market?
Property investors should invest in the Liverpool buy to let market to take advantage of high rental yields, increasing demand, and strong capital growth potential. In recent years, more and more investors are choosing to invest in Liverpool property thanks to the opportunities on offer. Rental yields for the city reach around 5.05% on average, while Liverpool house prices have grown rapidly and are expected to continue rising. Predicted growth of 21.6% in the north-west region is expected over the next five years.
Liverpool property investment is an attractive venture for those hoping to appeal to a range of different tenants. Students and young professionals make up a large portion of people seeking quality rental properties in Liverpool. With a student population of over 70,000, students in Liverpool provide a reliable stream of demand for property. Liverpool’s buzzing business scene, lively nightlife and endless attractions have also made the city popular with young professionals.
With properties in Liverpool being more affordable than in other UK cities, Liverpool property investment is a no-brainer for those keen to utilise smaller budgets. Our Liverpool properties at RW Invest offer competitive prices that you would struggle to find elsewhere. Better yet, all of which come with impressive rental yields as high as 7 and 8%. Those investing in Liverpool buy to let properties could buy multiple properties for the same price as they would purchase just one property in London, but with a higher return on investment.
Most of the best buy to let postcodes in Liverpool city centre and nearby are sure to benefit from the many regeneration projects planned. Regeneration plans include Liverpool Waters, the new city centre neighbourhood that will transform the Liverpool waterfront. Other projects include the regeneration of Liverpool Lime Street station, and plans to renovate Anfield and its surrounding areas. The Office For National Statistics revealed that Merseyside saw a 3.1% economic growth rate in 2016 — faster than any other major city region in the country. Regeneration plans will only drive this economic growth further and improve the city’s reputation as a magnet for both national and overseas investment.
Which Liverpool property investment type is right for me?
There are lots of options when selecting the best Liverpool property type to invest in. With students and young professionals driving the highest level of tenant demand, both these property types are a popular choice for Liverpool investments. The type of property that’s right for you could depend on your budget. The opportunities for student property investment Liverpool offers are often low priced compared to residential, while still offering great rental yields. Student property investments make a good option for first-time investors who are beginning to build their property portfolio. Whereas, investors who want to expand their portfolio are likely to benefit from residential property investments in Liverpool. The majority of our investment opportunities here at RW Invest are residential, all with competitive prices and high yields.
More and more young people are starting to move up north from London in recent years, with cities like Liverpool offering great business prospects and affordability. Young people are struggling to buy homes of their own, meaning there’s a high demand for rental properties. Those interested in residential Liverpool property investment will find that properties based in city centre locations will receive the highest level of interest. Young professionals like to be close to their workplace and the city’s main attractions. To cater to this, all of our apartments are located in the best buy to let postcodes in Liverpool.
Aside from deciding between student or residential, when buying property in Liverpool you should also consider whether the buy to let property is an off-plan, a new build or an older property. The majority of the investment properties at RW Invest are off-plan, meaning that they’re still in the development stages. Off-plan properties come with a lot of benefits, such as having the potential for better capital growth. By the time your property has been completed and ready for tenancy, it could have increased in value. With Liverpool based off-plan properties, especially those at RW Invest, the potential for capital growth is already high, making this city the perfect place for your off-plan investment. Since off-plan properties are also new builds, they’re the desired property type for a lot of tenants. New builds also benefit from higher energy efficiency than period builds. Young professionals, in particular, are attracted to new build properties in Liverpool city centre that are modern, well-designed and don’t require any maintenance or repairs prior to moving in.
At RW Invest, we’re one of the best property investment companies Liverpool has to offer in terms of our selection, affordability and rental yields. With our dedicated team of property professionals, we offer the best service to those looking to invest in property in Liverpool. Contact us today to enquire about our Liverpool buy to let properties and find the perfect opportunity for you.