Top 10 Places in 2023 with the Highest Rental Yield in UK

When it comes to investing in the UK property market, rental yield is an important factor to consider. Rental yield refers to the amount of income generated from a rental property, calculated as a percentage of the property’s value. For investors, a high rental yield can be a sign of a good investment, as it means more money coming in each month to help pay off the mortgage and generate a profit.

In this article, we’ll take a look at the top 10 places in the UK with the highest rental yields, to help you make an informed investment decision.

1. Liverpool

Liverpool is at the top of the list for rental yields, with an average of 6.8% for buy-to-let properties. This city has a strong economy, with a thriving arts and culture scene, and a growing student population, which all contribute to the high demand for rental properties. Liverpool is also home to a number of top-performing universities, including the University of Liverpool and Liverpool John Moores University, which drive demand for student accommodation.

2. Newcastle

With a rental yield of 6.3%, Newcastle is another great city for buy-to-let investment in the UK. This city has a strong economy, with a growing student population and a thriving arts and culture scene. Newcastle is home to two universities, Newcastle University and Northumbria University, which drive demand for student accommodation.

3. Sheffield

Sheffield is another city with a strong economy and growing student population, contributing to its high rental yields of 6.2%. Sheffield is home to two universities, the University of Sheffield and Sheffield Hallam University, which drive demand for student accommodation. Additionally, Sheffield has a thriving arts and culture scene, and is home to a number of museums and galleries, making it an attractive destination for renters.

4. Bristol

Bristol is another city with a strong economy and growing student population, contributing to its high rental yields of 6.1%. Bristol is home to two universities, the University of Bristol and the University of the West of England, which drive demand for student accommodation. Additionally, Bristol has a thriving arts and culture scene, with a number of music and food festivals taking place throughout the year.

5. Glasgow

Glasgow is another city with a strong economy and growing student population, contributing to its high rental yields of 5.8%. Glasgow is home to two universities, the University of Glasgow and Glasgow Caledonian University, which drive demand for student accommodation. Additionally, Glasgow is known for its rich cultural heritage, with a number of museums, galleries and historic buildings to explore.

6. Manchester

Manchester is another city with a strong economy and growing student population, contributing to its high rental yields of 5.7%. Manchester is home to two universities, the University of Manchester and Manchester Metropolitan University, which drive demand for student accommodation. Additionally, Manchester is known for its thriving arts and culture scene, with a number of music and food festivals taking place throughout the year.

7. Birmingham

Birmingham is another city with a strong economy and growing student population, contributing to its high rental yields of 5.6%. Birmingham is home to two universities, the University of Birmingham and Birmingham City University, which drive demand for student accommodation. Additionally, Birmingham is known for its thriving arts and culture scene, with a number of museums, galleries and historic buildings to explore.

8. Nottingham

Nottingham is another city with a strong economy and growing student population, contributing to its high rental yields of 5.5%. Nottingham is