Places where rental yields are approaching 7% revealed
There are still parts of the country where investors can achieve "healthy returns", according to new data from The Letting Partnership.
The places were rental yields are reaching almost 7% have been revealed.
New research by The Letting Partnership has revealed that rental yields are
It calculated that the average rental yield for the country as a whole currently stands at 5.9%.
It is based on an average house price of £293,262 and an average monthly rent of £1,446.
Best-performing markets
The highest average yields at 6.9% can be found in Newcastle upon Tyne, where the average property price is £208,589 and the monthly rent is £1,206.
Portsmouth and Manchester follow with average yields of 6.5% each, while Southampton and the London borough of Tower Hamlets offer estimated yields of 6.4%.
Bristol, Blackpool and Nottingham also rank among England’s strongest rental markets, with average yields of 6.3%, followed by Lincoln and Kingston upon Hull at 6.2%.
There are still parts of the country where investors can achieve very healthy returns.”
Chris Mason, Chief Operating Officer of The Letting Partnership, says: “Yield is understandably front of mind for landlords and, as the figures show, there are still parts of the country where investors can achieve very healthy returns.”
The figures were based data from Gov.uk and the Office for National Statistics.
It follows separate research earlier this month that suggested the proportion of landlords experiencing rent arrears has dropped to its lowest level on record.
The research by Pegasus Insight on behalf of Paragon Bank, claimed that 26% of landlords reported rent arrears during the three months from April of this year.
It is down four percentage points from 30% in the previous three months.
