StripeHomes: The North provides best investment opportunities in England

Investors looking to secure the best returns need to head North, according to Birmingham and Newcastle-based property developer StripeHomes.

Broadly the North East offers the best rental yields (4.7%), followed by Yorkshire & the Humber (4.2%) and the North West (4.2%).

The North East is also an affordable place for first-time landlords, with average house prices of just £144,032.

In more detail the very best rental yields for buy-to-let landlords in England are found in Newcastle-upon-Tyne.

With an average house price of £177,821 and average monthly rent of £844, the city offers an average yield of 5.7%.

James Forrester, managing director of StripeHomes, said: “It’s great to see a number of areas presenting strong yields to buy-to-let investors despite the government’s best efforts to reduce profit margins in an attempt to disincentivise landlords and free up housing stock for general homebuyers.

“As the backbone of the rental market, the buy-to-let sector plays an incredibly important role in providing many with a place to live, but we simply can’t expect the nation’s landlords to provide this service at a loss.

“However, the year ahead looks positive and with travel restrictions lifting, a return to face to face teaching at universities as well as a return to the physical workplace, increasing demand should help boost many areas of the market.”

After Newcastle the next best areas for rental yields are Blackpool (5.54%), Stoke-on-Trent (5.47%) and Burnley (5.42%).

Some 16 of the country’s top 20 yield locations are found north of Nottingham.

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