Is there a UK ranking of residential rental yields?

Collapse
X
 
  • Filter
  • Time
  • Show
Clear All
new posts

    Is there a UK ranking of residential rental yields?

    As a newcomer to the BTL business, I'm keen to find which areas of the UK generate the highest yields. Do you know of any listings of such yields, at least for central/southern England?

    #2
    Originally posted by Powerful Pierre View Post
    As a newcomer to the BTL business, I'm keen to find which areas of the UK generate the highest yields. Do you know of any listings of such yields, at least for central/southern England?
    I have no idea, sorry, but the fact that the government are capping LHA payments means that London is going to look like a decidedly bad investment idea except for top of the range properties.

    This site might be useful:

    http://www.propertyhawk.co.uk/index....agazine&id=412
    'Pause you who read this, and think for a moment of the long chain of iron or gold, of thorns or flowers, that would never have bound you, but for the formation fo the first link on one memorable day'. Charles Dickens, Great Expectations

    Comment


      #3
      there was a ranking in a paper a while ago & Kingston-upon-Thames came out top. All they did was take the average rent & the average purchase price to make an average yield (a bit meaningless but it sells newspapers).

      Kingston came out top at c 5%, I have one there ticking over at c 4% so not bad.

      However, it ignores the void risk - unless you assume this is priced into the rent figures. Also, the upside for capital appreciation.

      I can't remember where the ranking table was - maybe the E Standard.

      Comment


        #4
        Originally posted by Powerful Pierre View Post
        As a newcomer to the BTL business, I'm keen to find which areas of the UK generate the highest yields. Do you know of any listings of such yields, at least for central/southern England?
        I suggest you read latest issue of Investors Chronicle ( 10-16 Dec 2010 ) page 38 which features a report " Is BTL worth it ?"

        This report mentions average yield on BTLs is 6.1% ( info source from Paragon )
        and yields accross country from 4.5% to 8.5% with strongest rental demand within the M25 zone ( info source from Spicerheart ).

        Comment


          #5
          Yield is more dependent on the type of property you choose to invest in rather than the area I think. A student flat in Kingston may return 8% while a four bedroom family home in Kingston may return 3%.

          I wouldn't touch anything that returns less than 9%.

          Charlie

          Comment


            #6
            Originally posted by charliem View Post
            Yield is more dependent on the type of property you choose to invest in rather than the area I think. A student flat in Kingston may return 8% while a four bedroom family home in Kingston may return 3%.

            I wouldn't touch anything that returns less than 9%.

            Charlie
            Without knowing the details of your portfolio, we are not in a position to know whether what you are telling us is a useful general principle or applicable only to the type of properties you invest in.

            A bit meaningless, really?
            'Pause you who read this, and think for a moment of the long chain of iron or gold, of thorns or flowers, that would never have bound you, but for the formation fo the first link on one memorable day'. Charles Dickens, Great Expectations

            Comment

            Latest Activity

            Collapse

            Working...
            X