Buy-to-let Landlords in York should invest in two-bedroom properties produce the best yields, according to a newly-released study.
Research by lettings management platform Howsy found that a two-bed property in Yorkshire and the Humber returns an average rental yield of 5.2%.
The average rental yield for a two-bed property across England is 4.8%, which is still the best property size to invest in, on average. This compares to 4.1% average rental yield for a one bed, 4.5% for a three bed and 3.6% for properties with four or more bedrooms.
Howsy chief executive Calum Brennan said: “As a landlord, maximising the profitability of your buy-to-let investment is as vital now as it has ever been and property size and type are as important as location when it comes to doing so.”
Central York homes in demand
Anya Mathewson, Managing Director of Letters, agrees it’s worth potential investors taking the time to consider the many factors which influence tenants’ choices of places to rent in York. She added: “As a guide, two bedroom or two double and one single-bedroom properties within walking distance of the city centre are a good investment because they’re very much in demand by the many young professionals living here.
“There’s always a need for good quality housing but mid-range and central properties appeal to young professional sharers, couples and young families so there’s a much broader range of potential tenants.”
She added: “As a two-university city, we also see a strong demand for student properties. But new investors in student flats or houses should bear in mind that properties to let from July should be ready to view the previous November, when students start looking.”
If you are considering investing in a buy-to-let property in York, we are happy to advise on your investment options. Please contact us for a no obligation chat.