Franchising, retail, business
02/06/2016
Liverpool is listed four times in the top 20 buy to let hot spots in the country. It represents the UK as one of the most cultural and economically important cities outside of London With the government working hard to accelerate economic growth in the Northern power house, Liverpool represents this initiative as a major player, creating attractive returns and deserved attention from London investors and those world- wide.
One of the key reasons to invest in Liverpool's rental sector are the excellent yields available in the city. Liverpool has long had a reputation as a high-yielding buy-to-let market, and this is not expected to change any time soon. Right now, it is one of the country's highest yielding markets, thanks to low prices and proportionally high rents. Demand is high, created by an ever growing population. This is creating a shortfall in supply, and a swelling demand for quality rental properties.
Generation Y are driving this demand for the rented accommodation causing an increase by 17,500 per month over the past decade and the UK’s private rented sector is currently at a record size. And it’s a young market: almost 60% of 20 to 39-year-olds in the UK will be privately renting by 2025. These aspirational long-term renters need a new class of accommodation.
The city's is becoming an economic centre of growth causing an increase in the number of job opportunities in what is already an employment hotspot. The low cost of living, and constant regeneration and improvement city’s infrastructure is making Liverpool more attractive than ever as a place to live and work. The laws of supply and demand are beginning to drive appreciation and value. The savvy investors are seeing this momentum and are buying in to the city at an early stage.
Liverpool offers a plethora of opportunities to diversify any buy to let portfolio. Both the core residential and commercial sectors are strong, with a full spectrum of tenants. The residential market is robust, presenting properties that are attractive to young professionals, couples and families. The commercial sector offers the same opportunities in both offices and industrial space. Niche, specialist, and alternative property types – again, both residential and commercial – also perform well in the city.
The student market, in particular, is exceptionally strong due to the presence of some of the country’s best universities and the country’s largest medical teaching hospital. There is a trend of fast-rising student numbers, especially overseas all demanding high quality and modern accommodation.
Liverpool definitely worth a look.