Nottingham listed as top UK city for buy to let property investment
A report from the latest edition of Private Finance’s buy-to-let (BTL) hotspots has cited Nottingham as the top UK investment city.
Nottingham now sits in joint 1st position with Liverpool due to monthly rents increasing in the city by £121.00.
The report takes into account the top 10 performing cities for gross rental yields, after mortgage costs have been taken into account. Nottingham is listed as having an average 2018 monthly rent of £929 and an average net yield of 6.2% before tax.
Across the country, rents are rising faster than house prices at a rate of 20% compared to 6% (since May 2017). This has seen an overall increase of 0.9% in rental yields overall.
Whilst this is all great news for buy to let landlords, yields could change fairly quickly. Nottingham has seen a large increase in house prices over the last few months and this could be set to continue. This will of course lower the yields if rental prices do not follow suit.
A full list of top buy to let hotspots are in the table below.