Revealed: How much landlords make by renting out housing in York

York has 7,500 council homes. Photograph: YorkMix
28 Jun 2018 @ 9.23 pm
| Business, Housing

York’s position in the buy-to-let league has been revealed by new research.

A new comparison tool shows the best areas for renting out a house. Created by comparison website GoCompare, it also ranks cities based on the different metrics.

That places York 25th out of 31 cities. These are the key figures:

The average yield on a rental property of 4.2% puts York well behind Manchester – ranked number 1 with a yield of 5.55%.

And the city’s rental price growth – 0.5% – drops it down the rankings too.

Here’s what you can expect to pay

According to GoCompare, the average rent in York is £997. And these are the average rents for different sized properties in the city:

  • 1 bed – £625
  • 2 bed – £833
  • 3 bed – £1,156
  • 4 bed – £1,374

So with such high rents, why does York rank so far down the league table for landlords? It’s because the rankings are based on these factors:

  • average property price and rental yields
  • population under 35
  • number of properties available
  • number of letting agencies
  • number of new housing developments
  • and rental price growth.

York’s only comes in at 25th because “the rental price growth is quite low, just a 0.5% compared to the other cities,” a spokesman for the rankings said, adding:

The average property price is quite high compared to the rest of UK cities, apart from London.

This means that buying a property for buy-to-let won’t be worthwhile as the you will have to pay a big amount compared with other cities where the property price is lower than York’s.

Here’s how York compares to Manchester, ranked number 1, for example.