Best UK city for buy to let investment revealed
For those investors wanting to know where the best UK city for buy to let investment is, then a new study reveals all.
According to research from CIA Landlord Insurance, the best location to deliver profits is Salford.
There, the average house price is £173,000, with average rents of £1,052 per month.
CIA Landlord says this is the best city for investors wanting to buy a new property for a buy to let undertaking.
Best cities for BTL investment
The firm worked out the best cities for BTL investment under the latest stamp duty holiday, and they have analysed the cost of average rent prices, house prices and stamp duty savings.
By doing so, they worked out the areas with the highest rental prices, with the cheapest home prices.
In second place as the best BTL destination is Manchester, followed by Leeds, Portsmouth and Belfast.
Worst city for a buy to let property
The worst city for those landlords wanting a buy to let property, is High Wycombe in Buckinghamshire.
Average house prices there are £431,000, and the average rental price is £945 per month.
Potential investors will also see low profit margins when investing in Cambridge; the average house is £448,000, with the average rental income being £1,080 per month.
Also, in the bottom five for offering the worst BTL profitability prospects are Reading, Worcester and Watford.
In London, the best borough for profits is Havering, while properties in Kensington and Chelsea will deliver the lowest profits in the capital.
However, when the data is analysed, it's revealed that Grimsby offers the best location for those wanting a one-bedroom BTL house, while Sunderland is the best for a two-bedroom BTL opportunity.
Grimsby also ranks highly for those wanting a three-bedroom BTL, while Doncaster is the best for investors wanting a four-bedroom house and a five-bedroom house for buy to let purposes.
End of evictions ban sparks reaction
Meanwhile, news that the government has brought an end to the repossessions ban for England and Wales has led to an industry reaction.
The National Residential Landlords' Association’s chief executive, Ben Beadle, said: "It's important that landlords can start taking action to tackle serious cases after a six-month repossession span.
"This will include tenants who are committing domestic violence or anti-social behaviour, and situations where rent arrears were building-up before the lockdown."
'Resumption of evictions will be a milestone for landlords'
The chief sales officer at PayProp, Neil Cobbold, said: "The resumption of evictions will be a milestone for landlords who have waited for six months to take action against tenants with serious rent arrears.
"Letting agents will need to make sure that the new notice periods set by the government are understood by landlords."
He added that these will include a six-month notice period for most repossessions, but urgent and serious issues will have shorter notice periods of between two weeks and three months.