Is the North West Still a Buy-to-Let Hotspot?
Want to invest in UK property in 2026? Enquire today and gain access to our exclusive investment deals before anybody else.
Can the North West Maintain Its Buy-to-Let Supremacy?
When it comes to property, location is everything, and wise property investors are always on the lookout for the UK’s top buy-to-let hotspots.
For some time now, there has been a shift away from London and the South as buy-to-let investors hunt for more affordable property and more generous rental yields in the North of England.
In particular, the North West has gained a strong reputation as a buy-to-let hotspot in the UK.
The area boasts high demand, lower property prices than the overall average, healthy rental yields, and strong projected capital growth.
But are other regions vying for the North West’s buy-to-let crown, and can they knock the area from its place at the top?
Read on to see the latest developments in the property investment market.
Projected annual rental income as high as £28,345 and predicted £86,929 capital growth by 2030. Interested?
Enquire about Fox & Foundry today, our latest addition to Liverpool’s fastest-growing regeneration area, with prices from £189,950. Growth prediction based on North West projected capital growth, Savills.
Buy-to-Let Hotspot Regional Comparison
As a buy-to-let destination, the South of England still suffers from the issues that drove investors north in the first place. The sky-high property costs are an unassailable barrier for many, and slow capital growth and low rental yields further compound this image in the eyes of buy-to-let investors.
In the regional buy-to-let showdown, the North East is the North West’s main competitor as the top buy-to-let hotspot. The area can offer comparable rental yields to the North West and has its share of attractive buy-to-let cities like Newcastle and up-and-coming locations like Sunderland.
But there’s fight in the North West yet, and there’s plenty of evidence that the region is still one of the best UK buy-to-let areas in 2026.
Projected annual rental income as high as £28,345 and predicted £86,929 capital growth by 2030. Interested?
Enquire about Fox & Foundry today, our latest addition to Liverpool’s fastest-growing regeneration area, with prices from £189,950. Growth prediction based on North West projected capital growth, Savills.
Why is the North West Still a Buy-to-Let Hotspot?
Young Population and Student Destination
Young adults are the most common age group for renting, so many buy-to-let investors are looking for cities with a younger population than average to ensure a consistent flow of potential tenants for their property. This puts the North West in the sights of many savvy investors, as large urban areas such as Liverpool, Manchester, Preston and Lancaster have sizable young populations.
Increasingly, young people are moving away from London to chase a more affordable cost of living up north. There are robust employment options for young professionals in the North West, and Manchester and Liverpool have been popular choices for those leaving the capital.
The North West is also one of the top destinations for buy-to-let student accommodation, with prominent universities in Manchester, Liverpool, and Preston. Major student cities in the North West, like Manchester, also have high graduate retention, meaning many of these students stay and work in the area after finishing university, adding to rental demand.
High Capital Growth
Property is more affordable in the North West compared to the UK average and punching above its weight in terms of capital growth.
According to The Times, house price growth has been robust in Greater Manchester. As house prices were comparatively low previously, property is still relatively affordable in the area. Those who invest in the North West now are likely to reap the rewards of healthy capital value appreciation in the future, as property experts like Savills predict capital growth of over 27% by 2030.
High Rental Yields
The North West can offer some tempting rental yields for buy-to-let investors thanks to comparatively lower property prices.
High demand and low supply are also pushing rents up higher and higher, adding to the rental income of investors. Demand is so high in the North West that the BBC has reported 30 enquiries per rental property, higher than any other UK region.
Rents in Greater Manchester have been climbing exponentially, up 13.8% on the previous year in Manchester and 16% in Salford. Other parts of the region are also experiencing rapid rent increases, with 8.7% in Liverpool and 7.5% in Warrington.
Despite these rising rents, the North West is still an attractive place to live for renters. Costs are snowballing, but less than you would see when investing in London property. As rents were considerably lower in the first place, the area is still attracting plenty of rental demand, regardless of the high increases.
Regeneration
The North West has some exciting potential regeneration projects on the cards. The government has recently announced that it will invest £19.8 billion in new inter-city and local links in the North, redirecting money from the recently-scrapped HS2 scheme. A further £12 billion will be set aside to deliver the Liverpool to Manchester Northern Powerhouse Rail route.
Individual cities in the North West also have their respective regeneration projects, with plenty of exciting plans for revitalising their ailing areas.
Buy-to-let property investors can benefit from regeneration efforts as they make areas more attractive to buyers and renters, boosting the local population. This drives up rental demand rent prices, and encourages capital growth. Investors who buy in before the projects are completed can maximise returns through improved rental income and house value appreciation.
Read our updated guide to learn more about regeneration in the North West.
Invest in Greater Manchester’s Most Exciting Regeneration Zone - From £269,950
Luxury investment opportunity near the £2billion Old Trafford regeneration scheme. Short-term lets approved with projected yields from 9%+ and premium onsite facilities such as a luxury spa.
Best North West Areas to Invest in Buy-to-Let
Greater Manchester
Manchester is considered the North West’s commercial centre and one of the most in-demand areas for rental properties. Property prices are relatively affordable compared to other regions but not as cheap as most of its neighbours.
Greater Manchester also includes Salford and Wigan, and both are considered up-and-coming buy-to-let locations thanks to their commutable proximity to major North West cities.
Property prices are much more affordable in the surrounding towns and cities than in Manchester City, and impressive capital growth has been observed as the areas grow in popularity.
Although the average yields reported for Manchester City are higher, decent rental yields can still be made in the surrounding commuter towns.
Liverpool
Buy-to-let properties in Liverpool have had an impressive revitalisation journey, fully reversing the city’s fortunes and rebranding it as an exciting and modern place to live. The city has some ambitious regeneration projects in the pipeline, focusing on the Knowledge Quarter and the Baltic Triangle Creative Quarter.
Liverpool can offer some of the best rental yields in the UK. According to Zoopla, the second-highest average rental yield for the North West is 7.02%.
Burnley
Burnley is garnering attention as an up-and-coming buy-to-let hotspot. This is because it offers some of the best rental yields in the UK, as per Zoopla, averaging 7.92%. Burnley is one of the cheapest areas for buying property in the country, which is bound to catch the eye of wise investors.
Invest in Greater Manchester’s Most Exciting Regeneration Zone - From £269,950
Luxury investment opportunity near the £2billion Old Trafford regeneration scheme. Short-term lets approved with projected yields from 9%+ and premium onsite facilities such as a luxury spa.
The North West is Still a Buy-to-Let Hotspot
The formidable combination of a younger population, high rental yields, high capital growth, and promising regeneration efforts means the North West hasn’t entirely lost its crown yet. With a mix of established cities and up-and-coming towns, the region offers varied investment opportunities for buy-to-let ventures that are hard for other areas to beat.
Want to stay up-to-date with the latest property market developments? Consider reading our latest guides, which cover everything from property development for beginners to the best areas to buy an investment property!
Share:
Contact Us
Want to Get in Touch?
Fill in the form to contact us today and a member of our award-winning property team will be in touch to help.
It will be my third investment apartment with RW Invest and I cannot recommend them highly enough. Sean Orrett and Chloe Walker really do go the extra mile. Chloe in particular helped me through a particularly hard time with solicitors and all the paperwork that was involved. Living in a different country and negotiating all the nuances that come with investing, she negotiated with ease and gusto. A big thanks to you both.
Daniel Stewart, has assisted me every step of the way. This is my first property purchase and so took Daniel up on his offer to guide me through every step no matter how small. I felt comforted to have his assistance in documents I needed to both understand and sign. Couldn't be happier with the help and customer care I have received so far.
We highly recommend RW Invest to anyone looking for an experienced, reliable and knowledgeable professional company.
We are more than delighted with their services throughout the entire process. They provided us with extremely helpful advice and guidance every step of the way and ensured that we understood all aspects involved in securing a property through them.
Chloe is very helpful. She has been a great help and solved all the difficulties I had with the purchase. I am happy she was there to help with the process. Very approachable and responsible.
This was my second unit purchase with RWinvest, and I found the team to be very helpful in finding the best deal which suited my needs and budget. Arjun Surana, Adam Burns were really processional in answering all questions, Excellent follow up and ensures your property purchase are smooth from the start to end and supporting throughout the purchase/exchange of contract process.
I highly recommend anyone to purchase their property with RWinvest.
