Demand for buy-to-let property in NorthWest is soaring
Demand for buy-to-let property in the North West has soared by 38 per cent year on year, according to the Mistoria Group.
Cities and towns are proving to offer the best opportunities, with yields of 7.08 per cent in Salford, 5.96 per cent in Leeds and 5.79 per cent in Manchester, new research by the specialists in investment property shows.
Manchester is in the Top 10 buy-to-let postcodes in the UK, with rental price growth of 7.53 per cent and yields of 6.11 per cent.
The resilience of the property market in the North West has been boosted by regeneration which has bought new jobs, transport links and a range of large housing projects.
Mish Liyanage, managing director of the Mistoria Group, said: “The housing market in the North West is stable, proving the strength of the property market and economy as a whole, in this region.
"The Northern Powerhouse offers investors unbeatable buy-to-let opportunities, way ahead of London and the South East. Affordable property prices and a booming economy is drawing students, families and professionals to the region."
HMOs in Liverpool and Salford are proving popular with investors, as both cities have a high population of students and young professionals.
Because Article 4 is not in operation in these cities, investors are able convert a family home, or a home used by a single person (C3 -dwelling house/flat) to a small shared house of up to six unrelated individuals (C4 –HMO), without any planning permission.
A HMO property can deliver landlords an average gross rental yield of 13 per cent before any charges and voids.
A three bed HMO for three students, which can be bought from £120,000 in Liverpool, will see gross rent on the property in excess of £1,235 pcm.