HSBC have identified hot spots in the U.K for the best buy-to-let rental yields, with seaside towns Southampton and Blackpool topping the list.
According to research conducted by HSBC, it appears that a combination of inexpensive properties and high rent prices have unsurprisingly produced rental yields of 7.82% in Southampton and 7.81% in Blackpool.
Northern cities also scored highly for returns on property investment, as Hull (7.77%), Manchester (7.60%) and Nottingham (7.5%) closely followed Southampton and Blackpool in the table for best rental yields.
Peter Dockar from HSBC commented, “Buy-to-let remains a good investment for those looking for above average returns. Twenty-three of the top 50 areas offer yields above 5%, significantly more than is available from more traditional savings options.
“However, it is clear there is a fine line between a property in a desirable area, the rents that can be achieved and the returns that can be yielded so it is key landlords do their research as often the most popular locations may not offer the best return.”
RLA mortgages have teamed up with 3mc to offer its members buy-to-let mortgages and a wide range of services.
For more information on RLA mortgages and to receive a quote, please visit www.rlamortgages.co.uk