Liverpool might be better known for its musical and maritime heritage than it’s thriving property and buy-to-let opportunities. But 2022 is a year of transformation and opportunity for this Northern city.
Named in 2019 as the best location in the UK for buy-to-let yields, Liverpool’s thriving local economy and subsequent growth in rental demand has resulted in a strong performance for the city’s buy-to-let investors.
Liverpool is a University city – housing upwards of 70,000 students across a number of key locations. With a permanent population of roughly half a million people, Liverpool is the 5th largest metropolitan area in the UK and part of the much-discussed Northern Powerhouse.
The city has historically played a key part in the Northern economy. The River Mersey was a major gateway to the Irish sea, acting as one of the foremost maritime ports when accessing global shipping routes throughout the 18th and 19th century. Today, that maritime past is reflected in the city’s status as a leader in global logistics. The supply chain infrastructure in Liverpool continues to be a major attraction to the global businesses currently operating a base from the city.
It is the access to the global economy that is rooted in Liverpool’s thriving start-up scene. The city is widely viewed as a growing hub for tech start-ups as well as a creative force in film and TV production. Liverpool is the base for both Lime Pictures and Hurricane films and employs thousands across its booming creative sector.
The financial and professional services sector also have a growing home in the city – attracting thousands of young professionals to the city to take advantage of higher wages and the lower cost of living. A number of major banks and investment firms operate HQ’s from Liverpool as part of the city’s financial district, housing the largest wealth management centre outside of London.
A Student City
Liverpool has three Universities – The University of Liverpool, Liverpool John Moores University and Liverpool Hope University. As a student city and a popular place to study and live, the city has an established buy-to-let rental market for its growing student population.
Popular areas for students include Wavertree, Aigburth and Allerton however, the Baltic Triangle has fast become a key location for students. Known as the creative and digital hub of the city, the Baltic triangle is just a 15 minute walk of the city centre. The ‘Baltic’ as it’s known by locals is a former industrial zone which has been transformed into an urban oasis of indie start-ups, canteen-style cafes and edgy nightlife in the warehouses that characterise the area.
City-Wide Investment Boosts Property Demand
Liverpool is a city which continues to focus on inward investment to improve infrastructure, cultural offerings and redefine the city environment. It is this investment that has created a thriving property market, which, buoyed by lower property prices than the South, provides the ideal platform for buy-to-let investors.
Property prices are still relatively affordable compared to similarly-sized areas in the South of the UK. However, Liverpool has not been immune to post-covid boom in demand. Average prices in the city have risen by 23% since the previous 2019 peak, currently sitting at an average asking price of £202,272 according to RightMove.
Liverpool still supports a thriving population of city-dwellers but the low prices and high rental yields has made the city a haven for buy-to-let investors. The strong local economy, student population and growth in key industries makes the city an attractive option for buy-to-let investors looking to take advantage of low property prices in a city with a bright future as part of the Northern Powerhouse.
Want to find out more about our Liverpool developments or any of our other buy-to-let investment opportunities? Get in touch today invest@globalinvestmentsincorporated.co.uk.
