Liverpool Property Investment: The Ultimate Guide

Contents

Chapter 1: Why Invest in Liverpool? 

Investors from around the world regularly take advantage of Liverpool’s property investment opportunities. But why is that? 

In the first section of our Liverpool property investment guide, we’ll look at some of the reasons why buy to let in Liverpool is so popular and why you should invest in property in this city. 

Key Topics: 

• The benefits of investing in Liverpool for rental yields. 
• Liverpool’s thriving rental market. 
• Affordable property prices in Liverpool. 
• Strong capital growth prospects from Liverpool buy to let.  

4 Reasons to Invest in Liverpool Property

You might be wondering, ‘is Liverpool a good place to invest in property?’, and the truth is that there’s plenty to be excited about when it comes to the Liverpool buy to let market. 

More and more investors are choosing to invest in Liverpool property thanks to the opportunities on offer. 

But what is so great about Liverpool property investment, and why should you consider exploring the property for sale in Liverpool? 

Property investors should consider property investment opportunities in the Liverpool buy to let market to take advantage of high rental yields, increasing demand, and strong capital growth potential. 

Keep reading for more information on the benefits of Liverpool buy to let investment and why you should explore investment properties in the city. 

Chapter 2: The Liverpool Property Market 

The Liverpool property market is undoubtedly thriving, with investors worldwide taking advantage of affordable property prices, high Liverpool rental returns, and strong economic growth. 

Due to an ongoing property boom in Liverpool, the Liverpool housing market is currently competitive for homeowners, renters, and those buying investment properties.  

This has helped the city gain a reputation as the best place to buy property in 2021. 

So what exactly makes Liverpool so special when it comes to the area’s housing market and economy? 

Here are some key pieces of information that you should know if you’re considering making a Liverpool investment in 2021 and beyond. 

Key Topics: 

• House prices in Liverpool are growing. 
• Liverpool is a popular city for overseas investment. 
• Economic growth is strong in the city. 
• The population is growing. 
• Liverpool has a famous cultural scene.  
• Liverpool is a top tourist hotspot in the UK. 

Liverpool Property Prices Are Growing Fast 

The North West region is known for having some of the fastest-growing house prices in the UK. 

According to Land Registry data, Liverpool property prices have increased by 45.7% between June 2010 and June 2021. 

In the last three years alone, average house prices in Liverpool have increased by 26.3% between June 2018 to June 2021.  

With strong Liverpool property price forecasts ahead, it’s clear that property prices in Liverpool are showing no signs of slowing down. 

Levels of Foreign Investment Are High 

Levels of overseas investment in the Liverpool property market are high. 

From 2017 to 2018, there was a 160% year-on-year increase in Chinese buyer enquiries into Liverpool buy to let investment. 

In 2019, Liverpool was recorded as one of the biggest UK recipients of foreign direct investment, with growth in overseas investment levels for Merseyside areas such as Knowsley, St Helens, and Haydock. 

This FDI across the region led to the creation of 3,389 jobs. 

Liverpool Has Experienced Fast Economic Growth 

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 national and overseas investment.  

In turn, this will attract even more interest from those keen to invest in Liverpool over the coming years. 

The City’s Population is Expanding  

As of 2021, the current metro area population of Liverpool stands at 906,000. That’s up by 0.44% since 2020. 

Between 2017 and 2021, the population in the city has also increased by 1.4%. 

Around 75% of Liverpool city centre residents are reportedly aged between 17 and 29, which is a significant reason why there are such high levels of rental demand in Liverpool. 

With reports of many people now choosing to leave London and move up North, the population of Liverpool is likely to grow even further over the coming years. 

Liverpool Boasts a Rich Culture 

There’s a reason why Liverpool was voted the European Capital of Culture back in 2008. 

As the birthplace of the Beatles, Liverpool’s music scene plays a big part in Liverpool’s prominent reputation. 

Regular music events are held in Liverpool, including LIMF, Liverpool Sound City, Africa Oye, and the BBC Radio 6 Music Festival. 

Both the music scene of Liverpool and the thriving football scene bring in herds of tourists each year, helping the economy to flourish. 

According to Deloitte’s Sports Business Group, Liverpool football club grew the city’s economy by a huge £497 million GVA between 2017 and 2018. 

Levels of Liverpool Tourism Are High 

Liverpool is a prominent tourist spot, with people from around the UK and worldwide embarking on city breaks in the area. 

There’s plenty to do and see in Liverpool, with world-class shopping and new restaurants launching regularly, as well as a famous nightlife scene. 

One walk around Liverpool, and everywhere you look, you’ll be faced with beautiful pieces of architecture. 

Our Reliance House Studios development is a great example, boasting a stunning Edwardian façade. 

Liverpool also boasts a wide range of art attractions, with galleries such as the Tate Liverpool and Liverpool Walker Art Gallery showcasing many exciting exhibitions. 

What Are Liverpool Property Market Predictions? 

Before exploring apartments to buy in Liverpool, it’s essential to make sure you know about the different predictions expected for the Liverpool property market in the coming years. 

Here are a few things that investors looking to buy to let property for sale in Liverpool should know about. 

House Prices Are Set to Soar 

Investment in Liverpool is a fantastic prospect for investors focused on house price growth. 

The North West region is predicted to see a 28% house price growth on average by 2025, according to predictions from Savills.  

This is the highest expected growth of any UK region, with the overall UK average standing at 21.5%.   

With continued regeneration spanning across many city areas, prices and property values are set to continue increasing in Liverpool.  

The Rental Market Will See Further Growth 

The appeal of living in Liverpool is also set to continue, helping to maintain the high levels of demand for quality rental properties for many years to come. 

According to JLL, Liverpool rental prices are expected to see a growth of 14.8% over the coming years, which seems likely given that the Liverpool rental market has experienced surging demand levels over the last year. 

Chapter 3: Which Liverpool Property Investment Should You Choose? 

Liverpool property investment is undoubtedly a great option to consider for anyone looking to put their funds to good use.  

But what is the best type of Liverpool property to invest in?  

In the world of buy to let, investors have a wide range of property types to choose from. Choosing the right one for you is a crucial step in your investing journey. 

To help narrow down your selection, we’ve put together a guide to some of the most popular types of property investment in Liverpool with the benefits of each strategy.  

Key Topics: 

• Student buy to let investment in Liverpool. 
• Investing in Liverpool residential property. 
• Off-plan property investment in Liverpool.  
• How to pick the right investment for you. 

Which Liverpool Property Investment Is Right for Me? 

There are lots of options when selecting the best investment properties in Liverpool.  

As with investments in any UK city, Liverpool offers some great student and residential investment opportunities. 

Investors looking to buy Liverpool property should also think about whether they wish to purchase an off-plan property or instead invest in a property that’s completed and ready for residents.  

So, which is the best option? Let’s explore these different property types in more detail.  

How to Decide Between Off-Plan and Completed Property Investment in Liverpool 

Since both off-plan and completed Liverpool property investment opportunities come with their own benefits, it can be tricky to know which one to choose. 

Whether you invest in a Liverpool property that is off-plan or completed depends on personal preference. 

To help you decide, here are three questions you should ask yourself. 

1. Is taking a physical tour of the property necessary for you? 
2. Do you want to start renting your property out straight away, or could you wait? 
3. Would you prefer to pay below-market value for your property? 

Once you answer these questions, you should better understand how to choose the right Liverpool buy to let properties for you. 

Chapter 4: Where to Invest in Liverpool 

Now that you know about the benefits of investing in the Liverpool property market, you should think about the best areas to buy in Liverpool. 

Researching the different parts of the city can help you identify the best buy to let areas in Liverpool. 

This is because certain parts of Liverpool offer better prospects than others regarding rental yields, capital appreciation, and tenant demand. 

Find out more about the different parts of Liverpool, the city’s different regeneration zones, and the best places to focus on if you’re looking for flats to buy in Liverpool. 

Key Topics: 

• The different districts in Liverpool.  
• Top Liverpool regeneration zones. 
• The best areas in Liverpool to invest for high rental yields, low prices, and enhanced capital growth. 

What Are the Most Popular Districts in Liverpool? 

If you’re not from Liverpool, you might not be familiar with all of the neighbourhoods and districts within the city. 

Before you invest in property or buy a house in Liverpool, knowing more about the most common areas is essential. 

Here’s a quick guide to some of the most popular Liverpool areas that you should know about. 

Liverpool Regeneration Zones 

Regeneration is massive throughout Liverpool, and the ongoing redevelopment schemes within the city play a big part in the appeal of Liverpool property investment. 

Find out more about some of the most popular Liverpool regeneration zones that offer property to buy in Liverpool. 

What Are the Best Buy to Let Postcodes in Liverpool for Rental Yields? 

The best buy to let areas in Liverpool are L1, L11, L2, L3, L6, and L4. The success of these postcodes is down to the high average rental yields, growing demand, and capital growth potential. 

According to Totally Money, L1 offers yields as high as 10%, L11 yields 8.67%, and L6 follows behind with 8.12% yields.  

The L2 postcode generates 7.56% rental yields, L3 generates yields of 7.40%, and L4 boasts rental yields of up to 7.13%. 

With many of these postcodes dominating vibrant city centre areas, such as the L1 postcode, there are some great options for Liverpool buy to let investments. 

It’s safe to say that for buy to let, Liverpool postcodes like these should be your go-to option. 

What Are the Best Areas to Buy in Liverpool For High Capital Growth? 

The best area to invest in within Liverpool if you’re focused on strong capital growth is the city centre.  

There is a lot of regeneration ongoing throughout Liverpool city centre, which is contributing to an increase in property prices. 

Over the last five years, property prices in Liverpool city centre have grown by 13.14%, according to Zoopla. 

Other parts of Liverpool with rapid house price growth include the suburban areas Mossley Hill, Crosby, and Garston.  

Chapter 5: Liverpool Properties For Sale 

Are you ready to find your perfect Liverpool property investment opportunity? 

We have some unmissable Liverpool buy to let properties available to invest in today, offering rental yields of up to 8%. 

Discover the best current Liverpool property deals in the final chapter of our guide to Liverpool property investment. 

Alternatively, click the following link to see the latest buy to let properties for sale in Liverpool from RWinvest in 2022.