Liverpool is one of the fastest-growing cities in the UK. As a result, the number of professional opportunities created has increased, and so has the number of people flocking to Liverpool from all over the UK and abroad.
And it’s not just young or seasoned professionals who are moving to Liverpool. Tens of thousands of new students also move to the city to study at one of the many universities and colleges.
And where there is an influx of people, there is increased demand for rental properties, which is the news every buy-to-let investor likes to hear. If you’re considering buying a buy-to-let property in Liverpool, this article is just for you. Today, some of the topics that we’re going to cover include:
- The best buy-to-let hotspots in Liverpool
- Things to consider before buying a rental property in Liverpool
But before we get into the topics above, there is one thing that we’d like to do first. For all people asking if Liverpool is an excellent place to invest in property, let’s take a quick look at what Liverpool’s rental market looks like right now.
An Overview of the Liverpool Rental Market
Simply put, the Liverpool rental market is booming and, according to Qube Residential, is rising, resulting in landlords finding renters faster than ever. On average, landlords find and place a tenant in their property within just 21 days, which has been unheard of until now.
The average rent for rental properties is currently £875. Some of the districts that offer the highest rental prices include Allerton (L18), Formby (L37), and Ince Blundell (L38). That said, properties in this part of town are also the most expensive. Don’t worry; there are many fantastic areas across the city of Liverpool and beyond that will not only be within your budget but will generate an above-average rental yield.
Best Buy-to-Let Hotspots in Liverpool
To make the most of your investment in a buy-to-let property, it’s crucial to make sure that the property you buy is in one of the city’s hotspots. That way, you’ll not only be able to charge more rent but also reduce the time it’ll take you to find a tenant.
We’ve done all the research for you regarding Liverpool’s best buy-to-let hotspots. Below are the areas of Liverpool that are not only popular among renters but also have one of the highest rental yields in the city.
L7 – Ormskirk
Ormskirk’s rental market is booming, and one large contributing factor is EdgeHill University, where over 10,000 students study in any given year. The good news for property investors is that all those 10,000 students need to live somewhere.
Although EdgeHill provides plenty of accommodation to its students, it’s certainly not enough. That’s why thousands of students are forced to find accommodation and pay an average of £150 per week for a single room. If you buy a 4-bedroom house for an average of £301,334, you can easily rent it out for £2,400 per month, resulting in a rental yield of around 9%.
L1 – City Centre
If you’re unsure where to buy a buy-to-let property, you can’t go wrong with Liverpool’s City Centre. Everyone, including students, young professionals, and even families, wants to live in this part of town, so you’ll have no trouble finding tenants.
The rent you can expect from a property in this part of Liverpool varies depending on its exact location, condition, and size. On average, tenants pay around £875 per month, and with properties costing £158,182, this part of Liverpool is one of the most lucrative, hence why it’s also one of the most difficult to get into.
L15 – Wavertree
Last but certainly not least, we’d like to present you with Wavertree. Situated approximately three miles southeast of the Liverpool City Centre, this small town is immensely popular among various demographics, including students, young professionals, and families.
Properties here cost an average of £204,117 and provided they’re in good condition, you’ll have no trouble renting out yours for 1,000 pounds or more monthly.
Hopefully, after gaining more insight into Liverpool’s buy-to-let hotspots, you know where and why you should invest in a buy-to-let property in Liverpool.
Things to Consider Before Buying a Rental Property in Liverpool
Before signing the papers, you need to consider a few factors. That way, you’ll increase your chances of not only making a positive return on your investment but also that your new buy-to-let property will be well worth your time, energy, and money.
The first and arguably most important factor you need to consider is who you want your tenant to be. Would you like your rental property occupied by students or perhaps a family with children?
Having this information at hand will help you navigate the property market in Liverpool and the areas you should look at when buying a rental property.
One thing you don’t want to do is to rent out your flat to a family but end up buying the flat in a student area that is always noisy and loud. In such a case, you’ll have difficulty renting your apartment to your target demographic. On top of the above, some other factors that you should consider include:
- The condition of the property
- The facilities and amenities in the local area
- Public transport links nearby
- Whether car parking is available or not
Investing in Property in Liverpool
If you’re considering investing in a buy-to-let property in Liverpool and have the financial means to do so, you should consider it. Liverpool’s population is growing each year, as is the demand for rental properties.
So, if you buy and rent out a property that’s not only in excellent condition but is also in a great area, you’ll have no trouble finding tenants and making a profit from your investment. And remember, if you ever want to sell your tenanted property in Liverpool in the future, contact us. We can give you a free, no-obligation cash offer for your property and help you sell your property far quicker than any high street property agent in Liverpool.
