The Top 6 Postcodes for Property Investment in Liverpool

In recent years, property investors have shifted their focus from London and the South to the North of England, seeking improved value and future growth. Among the major cities in the North, Liverpool stands out as a promising investment destination. However, for first-time investors, selecting a suitable area in Liverpool can be a daunting task. To aid in your decision-making process, this article employs data-driven analysis to examine the best buy-to-let locations in Merseyside, providing you with valuable insights for your next property investment in Liverpool.

Now let’s explore each postcode and learn about the highlights and things to know about each.

 Top 6 Postcodes for Property Investment in Liverpool

L1 – Liverpool City Centre

It’s quite understandable why L1 would be the top Liverpool postcode, not just in the City, but in the whole of the UK. Encompassing the vibrant city centre, L1 is home to a wide range of bars, shops, restaurants and attractions, most notably the iconic Liverpool ONE shopping and leisure complex. 

As you’d expect, there are also excellent transport links, including the city’s main train station Liverpool Lime Street. Two particularly prominent areas within this postcode are the Baltic Triangle, Liverpool’s buzzing tech hub, and the historic Ropewalks district, where fantastic new residential developments such as Vincent House and BeBold can be found.

Areas with a waterfront view, the aforementioned Baltic Triangle, Ropewalks and the Georgian Quarter are very popular buy-to-let locations and are highly sought after by many a renter.

With its buzzing nightlife and excellent transport links, L1 is an ideal place to buy property, with many investors taking advantage of the area’s potential for capital growth. Furthermore, with a wide range of residential properties available in L1, ranging from modern apartments to period townhouses, there is something for every property investor. As such, it’s no surprise that this postcode remains so popular with buyers looking to invest in Liverpool.

• Current Average Property Prices: £166,559
• Semi-detached: £263,380
• Terraced: £665,000
• Flats: £157,401

L2 – North Liverpool City Centre

This small postcode covers key areas of the north of Liverpool city centre and includes famous landmarks like the Cavern Club.  The area is home to Moorfields Station and numerous hotels, bars and restaurants. The postcode borders The Business District.

Many new refurbishments of listed buildings have sold out in the L2 postcode and it is certainly an area in high demand for those wanting easy access to all that the city centre has to offer. Additionally, with its close proximity to the Business District, it’s no wonder that this small postcode has become one of the most sought-after areas in Liverpool.

The demand for properties in L2 has led to a rise in property prices, making it a sought-after postcode for investors looking to make a healthy return on their investment. Despite the higher price tags, properties in the area continue to sell out quickly, indicating a strong demand for this prime location.

Overall, the L2 postcode offers an unbeatable combination of history, culture, and modern amenities, making it a highly desirable location for those seeking the best of both worlds in the heart of the city.

• Current Average Property Prices: £142,493

L3 – Vauxhall, Everton, City Centre and the Docklands

The L3 postcode of Liverpool has emerged as a prime location for property investors, offering a range of exciting opportunities for those seeking a healthy return on their investment.

This sprawling postcode covers a vast stretch of Liverpool’s docklands area, as well as parts of Everton and the up-and-coming Vauxhall district. L3 curves around to the top part of the city centre, making it home to the University of Liverpool and much of Liverpool’s Knowledge Quarter.

Much of this postcode has seen massive regeneration over the last decade or so, and continues to do so. The multi-billion pound Liverpool Waters project is set to breathe new life into Liverpool’s docklands, transforming the area into 21million sq.ft of new commercial and residential space, including an array of shops, restaurants and bars alongside four hotels, 23,000 apartments and the future stadium for Premiership team Everton FC. Exciting new developments include Alexander Tower.

The property market in L3 is currently thriving, with average rental yields of 6.4%, making it an attractive option for investors seeking a healthy return on their investment. In addition, the area offers a range of affordable properties, from traditional terraced houses to modern apartments, providing options for a wide range of budgets.

As the area continues to undergo regeneration, it is likely to become an even more attractive location for those seeking to invest in Liverpool’s thriving property market.

• Current Average Property Prices: £193,164
• Detached: £107,245
• Semi-detached: £180,000
• Terraced: £267,900
• Flats: £188,156

L6 – Anfield, City Centre, Everton, Fairfield, Kensington, Tuebrook

This one postcode encompasses parts of a large number of suburbs, as well as the edge of the city centre. Kensington, which is shared with neighbouring postcode L7, features a collection of streets named in honour of Liverpool’s most famous export, The Beatles, including roads such as John Lennon Drive, Paul McCartney Way, Apple Court and Cavern Court. 

L6 is also home to the leafy Newsham Park, a 121-acre Victorian park that features Grade II listed buildings, a fishing lake and a children’s play area.

The park is a key attraction for local families. Due to its close proximity to the University of Liverpool, Liverpool John Moores University and the Knowledge Quarter, this area has also become a popular student quarter. This, in turn, may have caught the eye of those looking to invest in HMO-style student housing.

In addition to its Beatles-themed streets and Newsham Park, the L6 postcode of Liverpool offers a range of affordable housing options for those interested in property investment in Liverpool. Or more specifically, for those looking to invest in buy-to-let properties.

Overall, L6 offers good value for investors seeking to invest in Liverpool’s property market. Its attractive location, popular amenities, and affordable housing options make it a promising postcode to watch for those looking to build their property portfolio.

• Current Average Property Prices: £114,194 
• Detached: £191,500
• Semi-detached:  £180,417
• Terraced: £107,131
• Flats: £116,667

L7 – City Centre, Edge Hill, Fairfield, Kensington

Sitting alongside the L1 and L6 areas, this postcode skirts the edge of the city centre and is home to the Edge Hill district, but also features parts of Kensington and Fairfield. 

In 1979, Edge Hill was designated as a Conservation Area, thanks to the array of Georgian houses there. In particular, many of the Georgian properties surrounding the historic St. Mary’s church have been English Heritage listed. The world’s oldest working passenger railway station can also be found in Edge Hill, having opened in 1830. Following a revamp in 2009, some of the historic station buildings were transformed into the Metal Arts Centre which hosts a wide range of artistic events and exhibitions.

Whilst the famous teaching institution that bares the suburb’s name, Edge Hill University, was founded in the area, it moved to a new site in Ormskirk in the 1930s. However, L7 is close to two of Liverpool’s other universities, making it another popular choice for students.

Investors should pay attention to L7 as it delivers an impressive average rental yield of 9.79%. With its historical landmarks, convenient location, and potential for growth, the L7 Liverpool postcode is an up-and-coming area that investors should consider for their property portfolio.

• Current Average Property Prices: £134,854
• Detached: £181,875
• Semi-detached: £147,182
• Terraced: £143,771
• Flats: £98,731

L15 – Wavertree

This outer suburb of Liverpool makes up the whole of the L15 postcode. Wavertree is another area with a dense population of students. Particularly the Smithdown Road area – again thanks to three of the city’s universities being nearby.

There are also several good schools in the district, including the distinguished Liverpool Blue Coat School. The Wavertree Playground, known locally as ‘The Mystery’ due to its anonymous benefactor, was one of the first purpose-built public playgrounds in the UK. It is now also home to the Wavertree Athletics Centre, whose sports facilities include tennis courts, an all-weather pitch, an athletic track with a grandstand, and Liverpool Aquatics Centre. 

This combination of factors means the area is also popular with families. Historic buildings found in Wavertree include the Roundhouse (built in 1796) and the Wavertree Town Hall (built in 1872).

The L15 postcode area has seen a relatively high number of property transactions in the past 12 months, standing at 996 which is 1.1 times more than the national average. This indicates a healthy property market with lots of potential for investors. With a range of affordable housing options, excellent schools, and plenty of recreational facilities, Wavertree is a highly attractive area for families and students alike.

• Current Average Property Prices: £196,610 
• Detached: £370,772
• Semi-detached: £288,959
• Terraced: £173,995
• Flats: £111,388

L13 – Clubmoor, Tuebrook, Old Swan, Stoneycroft, and Stanley

L13 presents an excellent investment opportunity for those seeking to invest in Liverpool’s buy-to-lets. The area is home to a variety of suburbs, including Clubmoor, Tuebrook, Old Swan, Stoneycroft, and Stanley, which offers landlords a wide range of choices when selecting a property.

At present, L13 boasts an impressive 7% yield, surpassing the national average. Additionally, the average house price is manageable, standing at £151,000, which is akin to that of L6. As such, this district is an optimal choice for novice investors with limited capital.

However, it is significant to note that growth in L13 is not as impressive as in other regions. Over the last three years, the area has experienced a growth rate of 16%.

• Current Average Property Prices: £144,727
• Semi-detached: £179,722
• Terraced: £136,914
• Flats: £99,450

If you would like to learn more about why Liverpool is such a great city to invest in, read Why Invest in Liverpool and Liverpool Dominates the UK’s Property Hotspots.

Conclusion

Considering buy-to-let investments in Liverpool, particularly in the central areas, can be a smart move. Property prices are relatively lower than those in some other parts of the country, making it a more affordable option, especially for those who are new to property investment.

However, it is important to note that rental values may not be as high as in other cities. Nonetheless, Liverpool’s property market has seen a significant increase in prices over the past five years, surpassing any other city in the UK. his trend is expected to continue with the growing population of young professionals in the city centre.

If you’re interested in exploring buy-to-let opportunities in Liverpool, please don’t hesitate to contact our team for further assistance.

Think Liverpool might be the right place for your next property investment?