The brand new monthly Yield Index produced by the UK’s leading independent estate agent shows that the annual returns on a typical one, two and three-bedroom property in the town are higher than anywhere else, including London.
A buy to let investor purchasing a one-bedroom apartment in Peterborough, for instance, would expect a yield of 8.7% per annum whilst a two-bedroom apartment would generate a yield of 9.0% per annum. A three-bedroom house would generate a slightly more modest 6.7% per annum.
The East of England as a whole currently offers the best rental yields of all the English regions in which haart operates, closely followed by the East Midlands, South Yorkshire and then surprisingly London.
The latter continues to remain one of the most popular areas of England in which to invest with yields ranging from 5 to 7% widely achieveable across many areas of the capital for one, two and three-bedroom properties.
Says Andrew Benn, Managing Director of haart Residential Lettings: “Whilst London and the South East has traditionally been the focal point for the majority of buy to let activity, we are starting to see investors focus more on other parts of the country, such as Peterborough, which thanks to rising rents, are offering prospective landlords annual returns of up to 9%, a yield they simply wouldn’t be able to achieve with other forms of mainstream investment.”