When looking at the regional differences in rental yields, there is still a glaring north-south divide, with northern regions posting much higher rental yields than the south.
The top of the table is populated by North East, North West, and Wales, making these some of the best buy-to-let locations in the UK. The North West’s average rental yield has grown from 7.5% to 8.4% this year, much higher than the overall average of 7.6%.
The lowest average gross rental yield is found in Greater London, which stands at 6.1%.
Steve Cox, Chief Commercial Officer at Fleet Mortgages, said: “While there are few surprises within this iteration of the Rental Barometer, it’s clear the trends we have all been seeing in the wider buy-to-let and private rental sector continue to strengthen right across the board, fuelled by a continued supply/demand imbalance.
“Hence, we have every single region within which Fleet lends in England and Wales showing a year-on-year increase in average rental yields, pushing the total figure to 7.6% – a 1% increase on a year ago.”
