Leeds is becoming a hotspot for property investment

As England’s third largest city, Leeds stands as the cultural, financial, and commercial heart of West Yorkshire, renowned for its historical significance, economic vibrancy, and thriving nightlife. Not only is it home to some of the nation’s best theatres and art galleries, but the city also boasts a fantastic selection of museums, entertainment venues, bars, and restaurants, further enriching its cultural landscape.

Besides its cultural offerings, Leeds is the UK second largest economy and financial centre behind London, according to GOV.UK, with big name employers like Asda, First Direct, Centrica and Direct Line having all established bases there.

What’s more, with the Bank of England having recently announced plans for a new northern hub located in the city, it’s clear that Leeds is fast becoming an economic powerhouse to be reckoned with.

A northern hotspot for investors

Given all that the city has to offer, it’s small wonder that it was recently named the ‘Best Place to Live in the North and the North East’ by The Sunday Times, beating the likes of Newcastle, York, and Durham to the top spot.

With Leeds proving such a desirable destination for homebuyers – as affirmed by a steady rise in city’s population by around 60,000 between the two most recent censuses in 2011 and 2021 – it’s fair to say that it is one of the biggest hotspots for property investment in the north of England.

In fact, there are plenty of opportunities available to investors in Leeds, with the buy-to-let [BTL] market booming, thanks mainly to the city’s large student population. Indeed, rental yields prove particularly strong, with those in the centre averaging more than 6%. Meanwhile, average rental yields for the LS1 and LS2 postcodes stand at 6.9% and 8.4% respectively. Additionally, returns in the LS3 postcode – close by the city’s two world-class universities, the University of Leeds and Leeds Beckett University – are stronger still, with landlords enjoying an average yield of 12% in this area.

On top of this, house prices across the city are significantly lower than they are in London. After all, prices in the capital are now averaging £729,802, with terraced properties typically selling for £833,439. Semi-detached homes, meanwhile, are going for an average of £832.987. In Leeds, the picture is markedly different, with average house prices for the same period sitting at £254,781, while terraced and semi-detached homes average £184,782. Given that prices in Leeds remain so comparatively low, now is the perfect time for investors and first-time buyers alike to get on the property ladder, not least because homes in the city will likely appreciate in value over time as prices continue to rise across the UK.

Leeds is the place to be

Purchasing a property in Leeds really is a no-brainer for shrewd buyers who want to reap the rewards of all that city has to offer. With so much going on and the city’s economy thriving, demand for properties is set to continue to soar, especially as young families and students continue to flock to the city in their droves.

So, what are you waiting for – check out why Leeds could be the property investment destination that you’ve been looking for!