Landlords with short-term lets in Fairfield, located in the outskirts of Liverpool city centre, are achieving the best yields in the north-west with returns of around 27.2%.
Some short-term rentals in appealing locations have been found to be more lucrative than longer-term lets. Figures from Portico Host, a short-term letting agency, revealed a number of neighbourhoods in Liverpool offer the best yields. In the agency’s data, the yields are based on an occupancy rate of 50% of the year.
Landlords with short-term rentals in Liverpool are averaging 27.2% rental yields, while those with long-term rentals are achieving a still impressive 13.6% yield. Of the 10 best performing locations for short-term lets in Liverpool and Manchester, the top eight postcodes are all in Liverpool.
Rachel Dickman, regional manager of Portico Host, stated: “It isn’t surprising to find that the properties that are achieving the greatest returns are those that are situated in areas surrounding Liverpool and Manchester city centres.
“These places typically have excellent transport links, proximity to popular tourist attractions, employment hubs, and good restaurants and cafes.”
Buy-to-let capital with exciting future ahead
As Liverpool is undergoing £14bn of regeneration and £250m investment in road infrastructure, the city is set for an even more exciting future. There are plans for a new stadium for Everton football club, which is expected to boost regeneration, and numerous property developments are also on the way across the city.
Affordable house prices and a thriving rental market have helped Liverpool boast the top two postcodes with the highest average buy-to-let yields in England. The city by the Mersey has built a reputation as a buy-to-let capital, making it an appealing choice for property investors wanting short or long-term rentals.
“Liverpool is becoming increasingly popular on the tourist trail, with 1.34 million people visiting the city in 2018, including business travellers, students and young professionals,” the regional manager of Portico Host commented. “It’s also continuing to host and attract major sporting events and these factors are resulting in a growing number of people wanting to stay in short let properties in Liverpool, and the increased demand for this type of accommodation is underpinning the rents that can be achieved.”
Find out about property investments in Liverpool Waters, a £5bn scheme that will see the River Mersey waterfront transformed into a world-class neighbourhood.