- Best Areas to Buy in Liverpool According to Rental Yields
- What Is the Average Property Price in Liverpool?
- What Is the Average Rental Yield in Liverpool?
- L1: Liverpool City Centre
- L2: North Liverpool City Centre
- L3: City Centre, Vauxhall, Everton, Docklands
- L6: City Centre, Everton, Fairfield, Kensington, Anfield, Tuebrook
- L7: City Centre, Kensington, Edge Hill, Fairfield
Best Areas to Buy in Liverpool According to Rental Yields
Liverpool Buy-to-Let offers some of the most attractive rental yields in the UK, with many buy-to-let investors enjoying good value properties in the North West city.
Today, we can reveal some of the highest-yielding areas in Liverpool. These areas combine appealing house prices and competitive rents, allowing for greater potential capital appreciation and a more substantial ROI. They are also very attractive to potential tenants and well-placed in the city’s top buy-to-let hotspots.
Read on for more information on the latest housing market figures.
What Is the Average Property Price in Liverpool?
According to Rightmove, the average property price in Liverpool is £212,528.
Semi-detached homes are the most popular property type, selling for £236,756. Meanwhile, on average, terraced properties cost £153,820—flats sold for £137,692.
Rightmove puts the current Liverpool sold prices at 1% higher than the previous year.
Meanwhile, the HM Land Registry puts the average UK house price at £289,824. The same index puts the average Liverpool property price at £177,224.
While Rightmove’s figures are slightly higher, both indices show that Liverpool prices sit well below the national average.
See our UK House Prices Chart for a more detailed breakdown.
What Is the Average Rental Yield in Liverpool?
Housesforsaletorent.co.uk puts the average Liverpool rent at £993 PCM.
According to figures from the Homelet Rental Index and Land Registry UK House Price Index, the average rental yield in Liverpool is 5.28%.
As you can see, Liverpool offers more lucrative yields than the national average. However, landlords may see even higher yields in certain areas.
The following table shows some of the best-yielding areas in Liverpool:
| Postcode | Average Rent (PCM) | Average Property Price | Average Rental Yield |
|---|---|---|---|
| L1 | £1,118 | £139,733 | 9.60% |
| L2 | £1,187 | £94,237 | 15.11% |
| L3 | £966 | £177,063 | 6.50% |
| L6 | £1,005 | £125,368 | 9.60% |
| L7 | £1,005 | £138,335 | 8.70% |
Average prices found on Rightmove. Average rent taken from Housesforsaletorent.co.uk. Figures were accurate in October 2023. The yields in this article are only estimates and do not consider other buy-to-let costs you may incur.
L1: Liverpool City Centre
- Average Property Price: £139,733
- Average Rent: £1,118
- Average Rental Yield: 9.6%
L1 has enjoyed a bulk of Liverpool regeneration projects in recent years. Close to the Liverpool ONE and the Alberty Docks, L1 attracts many visitors and residents due to the many things to do. The Baltic Triangle is one of the trendiest areas in town, with a master plan set to introduce a new train station and other amenities to the district in the near future.
Want to learn more about this area? Read the RWinvest Baltic Triangle Guide for more information.
With an average yield of 9.6% and stunning off-plan property investment developments such as Heaps Mill, One Baltic Square and Parliament Square offering luxury living, L1 is becoming one of the top buy-to-let hotspots in Liverpool.
L2: North Liverpool City Centre
- Average Property Price: £94,237
- Average Rent: £1,187
- Average Rental Yield: 15.11%
The L2 postcode is popular with young professionals. The area is close to the business district, not to mention plenty of cool bars and restaurants on Castle Street. Many apartments are available in this area, commanding considerable rent due to their desirable location.
L3: City Centre, Vauxhall, Everton, Docklands
- Average Property Price: £177,063
- Average Rent: £966
- Average Rental Yield: 6.5%
L3 is home to Liverpool’s Knowledge Quarter. This postcode has seen plenty of investment as the city seeks to close the economic divide with the South. Property investors can find the university campuses and hospitals in this part of town, bringing new residents into the area.
The upcoming Gateway development is set to revolutionise the Pumpfields area. This development will feature four New York-style skyscrapers and include luxury facilities focusing on energy efficiency. As the Atlantic Gateway and Liverpool Waters projects continue to improve the area and bring new businesses and leisure amenities to L3, state-of-the-art apartments will inevitably become highly sought after.
The current rental yield is 6.5%, but the regenerative efforts in the area could help that yield reach new heights in the near future.
L6: City Centre, Everton, Fairfield, Kensington, Anfield, Tuebrook
- Average Property Price: £125,368
- Average Rent: £1,005
- Average Rental Yield: 9.6%
L6 sits on the edge of Liverpool City Centre. It offers good value properties and is close to the Knowledge Quarter and university campuses. As such, the area has become an in-demand student location and benefits property investors targeting HMOs and student accommodation.
Developments like Element The Quarter have upscaled L6’s residential potential. This apartment complex is Liverpool’s first eco-development, boasting an “A” EPC rating and sustainable technology.
L7: City Centre, Kensington, Edge Hill, Fairfield
- Average Property Price: £138,335
- Average Rent: £1,005
- Average Rental Yield: 8.7%
Like L6, L7 is a popular student residential area on the edge of the city centre. The postcode is near the University of Liverpool and Liverpool John Moores University. It is an up-and-coming area with good value properties and an attractive rental yield.
Are you looking for the best buy-to-let areas? RWinvest has extensive investment guides, compiling up-to-date figures and market analysis to assist investors in their buy-to-let journey!
