Yields ease but rental market riding the Coronavirus challenge
New research suggested that yields across the UK rental market are remaining broadly unchanged despite the Coronavirus crisis.
The current average sits at 3.5 per cent, having seen a marginal decline from the 3.6 per cent registered prior to the pandemic hitting.
However, even with the obstacles that the current landscape presents, there are still a number of buy-to-let pockets providing strong returns for landlords who want to invest in property.
Bradford is home to the highest average yield at 10.0 per cent with Gwynedd on 6.2 per cent and North Down on 6.0 per cent.
Glasgow, Liverpool, Preston, West Dunbartonshire, North Lanarkshire, Forest Heath and Manchester also rank high, while at the other end of the scale Kensington and Chelsea, Malvern Hills and Chiltern are home to the UK’s worst average yields at 2.3 per cent.
Howsy, the lettings platform which commissioned the research, says that possible pandemic-induced house price falls while rental demand remains high could mean an increase in yields.
But even before this materialises, there are patches of the UK buy-to-let market that have already seen yields rise this year.
The largest has been in North West Leicestershire, where yields are up 1.4 per cent during the pandemic. Arun, Corby and West Norfolk have also enjoyed an increase of 0.8 per cent.