UK Property Market Outlook: Liverpool Attracting More Investors

Over recent years, more and more property investors have been choosing Liverpool. Its young population, booming regional economy and plethora of new developments have secured Liverpool a solid reputation as one of the UK’s best buy to let property hotspots.

Mersey, Liverpool

Predictions suggest that the Liverpool population is expected to reach 970,000 by 2030, which will further the currently robust tenant demand. With a growing population, it is a great time to consider investing in Liverpool property and certain postcodes can boast rental yields of almost 12%. In a recent study, Liverpool had three of the top ten postcodes in Britain’s top-performing buy to let hotspots. The L7 postcode had rental yields of 11.79%, the L6 postcode had 11.52% rental yields and L1 had 9.36% rental yields. These impressive figures have drawn more investment into the city, increasing property prices and growing the regional economy.

The popularity of Liverpool property can also be seen in the rising amount of property transactions that have been taking place in the city. In Liverpool, the number of property transactions has grown tremendously, with 2,494 deals in 2012 rising to over 7,000 by the year 2018. Dedicated efforts have been used to improve available properties and commercial spaces – not just residential properties set to benefit from advancements across the city.

New developments are well-sought after. One example is Liverpool’s Knowledge Quarter, which offers an incredible, inspiring neighbourhood, with over a billion pounds of new developments already underway. There will also be potential in student developments adjacent to the new £335 million Royal University Teaching Hospital. Another major project is Liverpool Waters which is set to transform Liverpool’s iconic waterfront district by creating a prodigious, multi-use destination. It is one of the biggest ever recorded UK investments at £5.6 billion.

Because there is such a huge demand for Liverpool property, from both tenants and investors, the city has been expanding its borders to accommodate more. New areas that were once on the fringes of the city now offer affordable, cool and alternative places for people to live.

The Baltic Triangle

photo credit: Visit Liverpool

The Baltic Triangle was recently voted as one of the coolest places to live in the UK, with property investment specialists like RW Invest offering stunning properties such as One Baltic Square, which also provide investors with lucrative yields. Other areas like The Fabric District and Liverpool One have been growing in popularity, with independent restaurants and quirky shops attracting young renters, who are looking for a great city centre location.

A young, thriving population is a major reason why Liverpool has been higher up on the agenda of property investors worldwide. The population of Liverpool City Centre has doubled throughout the past decade and the largest demographic is the 17-29 age bracket. Currently nearly 30,000 people in this age group are living in the city centre, with this set to rise too. Liverpool has a huge student population, with world renowned institutions like The University of Liverpool and the Liverpool Institute of Performing Arts (LIPA) attracting a total of 70,000 new students.

Due to the relatively low cost of living, unique culture of the city and growing levels of opportunity, a large percentage of graduates decide to stay in Liverpool. This age group is perfect for potential property investors, as they are often planning to rent for a considerable amount of time before trying to buy a property.

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