Where are The Top 5 UK Property Hotspots Right Now?
Before purchasing a property, shrewd investors will evaluate the long-term prospects of the area they’re looking to invest in. An improving local economy will only create long-term capital appreciation on a house purchase.
This includes calculating the region’s employment figures, crime rate, transport links, population numbers and overall infrastructure, along with its potential for improvement in these areas.
If you’re looking to buy property in the UK, here is a quick look at the top five places we recommend to consider making an investment in.
Investors have always been drawn to Manchester, especially in the buy-to-let market. It has impressive overall rental yields due to a relatively low-priced inner-city housing market and a sizeable rental sector. It has the country’s largest student population outside of London and a generally young population, most of whom are likely to rent. The city centre has been subject to numerous regeneration projects in recent years and there’s no indication this will slow down in the future.
There are numerous reasons why Leeds is an attractive hotspot for investors. There’s been plenty of renovation projects since the turn of the century, especially in the lucrative LS1 postcode area. A healthy population, along with a steady stream of university students looking for rental properties, keeps demand high and produces attractive buy-to-let yields. There’s also fantastic transport links to the rest of Yorkshire and across the UK, notably with easy access onto the M62, M621 and M1 motorways.
Perhaps one of the more unlikely property hotspots, Huddersfield has seen house prices rise yet still stay below the national average. This indicates an astute business investment if looking for short-term capital appreciation. There’s also an increased demand in the town, with many first-time buyers looking to take advantage of the government’s Right to Buy and New Buy schemes. Like other hotspots, the University of Huddersfield also provides a steady stream of tenants for the lucrative rental market.
The average house price in Bradford is less expensive compared to the national average, especially for terraced and semi-detached properties. For terraced housing in particular there was a rise in sale value of 15% between 2015-16, whilst this increase was +26% for flats. With close proximity to the expanding Leeds-Bradford Airport and a growing student population, Bradford is becoming one of the UK’s most attractive markets for investors.
Liverpool boasts a rich cultural heritage, strong local economy and large student population year on year. Residential housing across the city has always been relatively cheap, especially for terraced and semi-detached property, which makes the city attractive for buy-to-let investors. In addition, Liverpool has been subject to many regeneration projects across the city since the millennium and there’s no sign of this investment slowing down. The tourist sector is also highly profitable, boosting the economy and attracting investment from all over the world.
If you want to know more about how to invest in the right area, check out our Five Ways to Spot an Up-and-Coming Area.