Although in recent years, buy to let properties have become less popular, with investors choosing to place their money in different markets, there’s been a shift in focus lately. If 2021 has shown us anything, it’s that investing in buy to let properties can be a lucrative business venture if you choose the right areas.
In this article, we'll be helping buy to let landlords choose the right areas to invest in, and we'll also be giving some advice on buy to let mortgages and some of the benefits of buy to let property investments.
With this in mind, let's look at some of the best buy to let areas in the UK.
Property investor shows that Liverpool has the highest rent yields in the UK, with the average yields being 10.3%. Not surprising given what the city has to offer in terms of lifestyle and culture.
Second on our list is the West Yorkshire city of Bradford. Although the city sometimes gets a bad reputation, data shows that the average rental yield sits at 10%, proving that the city is on the rise, with many new housing projects popping up all over the city, and a number of big businesses moving there.
The northeast has always been a great place to live, given its transport links to Scotland and London, and if recent figures are anything to go off, it's also now a great place for buy to let landlords invest in with an average rental yield rate of 9.4%.
Although buy to let mortgages are incredibly similar to regular mortgages, there are a few key differences that you should be aware of before deciding whether or not to take one out.
Most buy to let mortgages work on an interest-only basis, which means that you only pay the interest each month rather than the sum you borrowed. While this is great in the short term, it's essential to have a long-term strategy in place to pay back your mortgage at the end of your contract.
Buy to let property investments are becoming increasingly popular, and banks such as Barclays are now offering excellent 10 year fixed rate mortgages for Landlords looking to expand their portfolios.
Here at LambornHill, we've always been big proponents of buy to let property investments for a number of reasons:
Although the housing market will always fluctuate, property prices will inevitably go up in the long term. This is especially true if you look to invest in up and coming areas such as Sittingbourne and North Kent in general.
With everything that has gone on over the past two years, having a steady income has never been more important. While a business or enterprise might go under, having a property that brings in a steady trickle of rent once a month can go a long way in keeping your bank balance topped up.
At the end of each tax year, you can offset any costs spent on your property against any tax, which is another way you can save money in the short term by investing in a buy to let property.
If you'd like to know more about buying to rent properties, particularly properties to rent in Sittingbourne, or you'd like to book an appointment with one of our property experts to discuss how buying to rent property investment could help change your life. Book a free consultation today.