Optimistic, regenerative, and advantageous are just a few words describing the rental market in Liverpool for 2023. With statistics for the lettings sector performing “extremely well” during the third quarter of 2022, rents have been rising in both the lower and middle end of the market.
The latest UK House Price Index indicates the average property cost in Liverpool at £180,000 with the average apartment starting at around £182,000, totalling half of the average property price in the south of England.
With investment backed by the government increasing in the city over the next 5 years, investors are also looking to grab a piece of the action while diverse developments transform the land within the city and the outskirts. And while property prices shouldn’t be taken as an indication of any future price rises, some parts of Liverpool have seen the value of their property rise by an astonishing 92% over the past 5 years according to Property XYZ.
Average rental yields are currently at a six-year high, ranging between 4-9% across postcode districts. As reported by Property Market Intel, 6 of the postcodes in the Liverpool area are in the top 25 buy-to-let areas in the UK.
The highest-ranking of the postcodes L7, saw average yields of 9.79% in 2022 with other postcodes such as L5 near the newly built Everton Stadium ranging 6.36%, and L3 in Vauxhall at 6.69% respectively.
Regarding investment opportunities, there are currently more than 3,400 rental units under construction in the Liverpool city centre area, with another 7,200 awaiting planning approval according to City Residential.
Areas with city centre views, green space, transport links, and anything with a waterfront view are incredibly popular letting locations across the city, with developments such as Cavendish Waters in L5 set to change the future of waterside living overlooking the River Mersey.
At Elavace, we pride ourselves on not only developing high quality properties in the North-West but working collaboratively with our investors throughout the entire process. We currently have three developments available offering ethical spaces designed toward tenant work-life balance, aiming to provide a positive and fruitful tenant and landlord experience.
If the well performing rental rates and average yields of Liverpool interest you, one of our property professionals would be delighted in contacting you directly to take you through each opportunity in our specially designed, personalised process.
Click here to get in touch with a member of our team today.