Top seaside property hotspots for rental yields revealed
Like to let beside the seaside? The latest research from LendInvest looks specifically at coastal towns to find which areas offer the top average rental yields to landlords.
Where are the top seaside postcodes for landlords?
The interactive map below looks at the highest rental yields along the UK coast. According to the data, Hull, UK City of Culture for 2017, is the top seaside postal area for landlords in England and Wales. Property investors who buy within the Hull postcode area can enjoy rental yields of up to 10.7% in seaside resorts like Withernsea.Hull is followed in the rankings by perhaps the best known seaside town in England, Blackpool. The Lancashire favourite allows landlords to invest for relatively low prices and rent for relatively high rental prices, which means landlords can get an average yield of 8.2 per cent in the town. > ‘Leave’ towns prove the best investment for landlords Other northern towns also feature high on the list of best locations for investment in seaside rental homes, with Lancashire’s Morecambe and Yorkshire’s Scarborough both giving landlords fantastic rental yields, these were in the top ten among locations in Wales, and only a limited number of southern towns and cities.
Top earning seaside towns
Property investors in Withernsea in Hull – the UK City of Culture 2017 – can enjoy rental yields of 10.7%. Properties cost an average of just £70,000.
There’s more to Blackpool than the Pleasure Beach – landlords can achieve rental yields of 8.2%, with average property prices of around £70,000.
3. Colwyn Bay
Colwyn Bay is the birthplace of former James Bond Timothy Dalton. Properties cost an average of £132,250, with rental yields of 6.1%.
The average property in Barry, setting of sitcom Gavin & Stacy, is £115,000. It delivers rental yields of 6% for investors.
5. Caister on sea
Caister-On-Sea in Norfolk is a good bet for property investors, producing average rental yields of 5.7%. The average property in the town costs £110,000.> See our latest Buy-to-Let rates and criteria
The average house price in Egremont, Carlisle, is £95,000. Property investors here can pocket rental yields of 5.7%.
Landlords in Morecambe can achieve rental yields of 5.5%, with the average property costing £119,000.
Scarborough is the largest holiday resort on the Yorkshire coast, making it a great option for holiday lets. The average property costs £176,500, with rental yields coming to 5.5%.
Rental yields in Ramsgate stand at 5.2%, with the average property price of £180,000.
The average property price in Portslade is higher than many towns on the list at £278,000. Nonetheless, it presents an attractive opportunity to landlords, delivering a rental yield of 5.2%.
11. Ryde (Isle of Wight)
Ryde, on the Isle of Wight, boasts the oldest pier in the UK. Investors can secure rental yields of 5.1%, with the average property costing £153,000.
12. Clacton on Sea
The typical rental yield in Clacton-on-Sea stands at a healthy 5%, with the average property costing £154,995.> 36 property investments outside London that could give you a better rental income
Bournemouth attracts more than six million visitors a year, according to the National Coastal Tourism Academy, making it a terrific option for holiday lettings. The average rental yield stands at 5%, with property typically costing around £167,500.
14. Chapel St Leonards
The average property in Chapel St. Leonards costs £130,000 and delivers a typical rental yield of 5%.
Investors in Plymouth can enjoy a rental yield of 4.9%, with the average property costing £146,000.
Southport in Merseyside is known as the golfing capital of England, with the highest concentration of championship links courses. Investors here can secure a return of 4.9%, with the average property costing £141,000.
17. Mablethorpe/Sutton on Sea
The average property in Mablethorpe/Sutton on Sea will set investors back £124,950. However, in return they can enjoy a return of 4.7%.
The typical rental yield in Torquay stands at a respectable 4.6%. Investors will need to pay an average of £153,000 to secure a property in the town.
Landlords who buy property in Hayle will need to spend an average of £195,000. The typical rental yield stands at 4.6%.
Birthplace of comedy legend John Cleese, Weston-super-Mare is currently undergoing a regeneration project which may make it even more attractive to property investors. Currently the average property price stands at £150,000, with rental yields of 4.6%.
21. Southend on Sea
The average property in Southend-on-Sea will cost investors £230,000. In return, it delivers typical rental yields of 4.4%.
Properties sourced from Zoopla.
About the LendInvest Buy-to-Let Index
The LendInvest Buy-To-Let Index uses data from Zoopla, one of the largest and most comprehensive property data providers, and historical data from Land Registry, making it the most extensive publicly available assessment of the UK BTL property market.