Where Should You Invest in Property in 2023: An Area Guide
Investing in property is a popular option for many people in the UK. The property market in the UK has seen steady growth over the years, and this has led to a rise in demand for investment properties.
However, it can be challenging to determine the best places to invest in property in the UK. In this article, we will discuss the top places to invest in property in the UK and what makes them an excellent choice for investors.
It also may be worth consulting RWInvest’s guide to the best places to invest in the UK for further details that can help you make a more informed decision ensuring your property investment journey runs much more smoothly.
London
London is one of the most expensive cities in the world, and property prices are correspondingly high. However, if you can afford to invest in property in the capital, there are opportunities to make significant returns.
The city has a strong rental market, with demand for accommodation from both students and young professionals. If you’re looking to invest in London, consider areas like Tower Hamlets, Newham, and Barking and Dagenham, where property prices are lower than the city average and may draw higher yields.
Manchester
Manchester is one of the fastest-growing cities in the UK, and its property market is reflective of this. The city has a strong economy and is unofficially credited as the UK’s ‘second city’, where there is a strong demand for property from students and young professionals.
The city’s property market is relatively affordable compared to other cities in the UK, making it an excellent option for first-time investors. Areas like Salford, Trafford, and Ancoats are among the best areas to invest in property in Manchester.
Liverpool
Liverpool is another excellent place to invest in property in the UK. The city has undergone significant regeneration over the years, and its property market has grown as a result.
Liverpool has a large student population especially, and there is high demand for student accommodation in the city amidst a massive supply imbalance.
It may be worth looking at new-build properties within the city centre alongside areas such as Baltic Triangle and Ropewalks where a surge of young professionals ensure they are among some of the best places to invest in property in Liverpool.
Edinburgh
Edinburgh is the capital of Scotland, and its property market is one of the most stable in the UK. With a massively successful regeneration scheme, the city has a high demand for property, and there are many areas that are excellent for investment.
New Town and Old Town are both equally viable locations for investment whereas districts such as Granton, Pilton and Wardie boast the highest rental yields. The city’s economy is driven by finance, technology, and tourism, making it an excellent option for investors looking for a stable market.
Birmingham
Birmingham is another city in the UK that has seen significant regeneration over the years. The city has a strong economy, and there is high demand for property from students and young professionals.
The city’s property market is relatively affordable compared to other cities in the UK, making it an excellent option for first-time investors.
Areas like Digbeth, Jewellery Quarter, and exciting developments such as Brindleyplace offer some of the best investment opportunities in the city.
Bristol
Bristol is a vibrant city in the South West of England, and its property market is one of the most attractive in the UK. The city has a strong economy and is the only UK city outside of London to make a positive net contribution to the Exchequer.
The city’s property market can be somewhat more expensive compared to other cities in the UK but it has one of the highest demand rates for rental property making it an excellent option for first-time investors.
Areas like Clifton, Redland, and Bedminster are among the most popular areas in Bristol but locations such as Easton have seen a massive house price increase that makes it a good investment opportunity.
Glasgow
Glasgow is the largest city in Scotland, and its property market is one of the most stable in the UK. The city has a high demand for property and a varied economy which means there’s an array of areas that are excellent for investment.
Owing to the huge demand for student housing areas like the city centre and Finnieston are prime hotspots for investment but Shawlands in the Southside has become increasingly in demand from young professionals.
Leeds
Leeds is another city with a strong economy and is the UK’s fastest growing city in terms of population which should spotlight its potential as a property investment hotspot.
The city has a strong rental market, with demand for both student accommodation and properties for the recent influx of young professionals. If you’re looking to invest in Leeds, consider areas like Headingley, Hyde Park, and Chapel Allerton.
Newcastle
Newcastle is a city with a strong economy and a growing young population. The city has a strong rental market, with demand for both student accommodation and rental properties for young professionals alike owing to developments such as Newcastle Helix amongst many others which have been significant in redeveloping the city.
If you’re looking to invest in Newcastle, it is worth considering areas like Jesmond, Heaton, and Gosforth due to their popularity and high rental yields.
Cambridge
Cambridge is a picturesque city with a world-renowned university and a thriving economy. The city has a strong rental market, with recent reports showing it ranking within the top three best UK cities for UK buy to let investment.
This is helped by the demand for high-quality accommodation in desirable areas. If you’re looking to invest in Cambridge, consider areas like Newnham, Cherry Hinton, and Trumpington.
