The buy-to-let market is in turmoil. Landlords are fleeing London and the South East, scared off by soaring interest rates, tough new taxes, and stricter regulations.

But don’t despair! While the south is struggling, the North is thriving, offering a golden opportunity for those willing to look beyond the usual hotspots.

Why the North is Winning

The North is attracting landlords like a magnet, and here’s why:

• Higher Rental Yields: Landlords in the North East, for example, are raking in an average yield of 7%, beating the UK average of 6.1%. This means they’re making more money from their properties, even with lower house prices.
• Cheaper Property Prices: Buying in the North is much more affordable. The average home in the North East costs £164,886, a whopping 43% less than the UK average.
• Strong Tenant Demand: The North is seeing a surge in demand for rental properties, thanks to growing populations and a thriving economy.
• Lower Stamp Duty: With lower property prices, landlords pay less in stamp duty, freeing up more cash to invest.
• Easier Mortgages: The lower property prices make it easier for landlords to get mortgages, allowing them to expand their portfolios.

Northern Hotspots

Here are some of the best places to invest in the North:

Newcastle

• Boasting two universities and a thriving economy, Newcastle is a magnet for students and professionals.
• Two-bedroom apartments can be bought for between £150,000 and £200,000 and can yield rents of £1,100 to £1,500 per month.

Teesside

• Rents are soaring, with yields of 8 to 9% common.
• Properties are snapped up quickly, often within just five days of going on the market.
• Darlington is particularly hot, with the multi-million pound railway regeneration project and relocation of Treasury offices attracting more jobs and tenants.

Manchester

• The vibrant student quarter of M14 is the most popular postcode for landlords in the UK.
• South Manchester is also booming, with high demand from young professionals.
• Yields average 6 to 7% on terraced properties and apartments.

Skelmersdale

• This West Lancashire town boasts below-average property prices and strong yields.
• A strong sense of community leads to long-term tenancies, making it an attractive investment.

Yorkshire

• Yorkshire is attracting landlords thanks to its strong economy and growing popularity.
• Cities like Leeds and Manchester are seeing businesses relocate from London, boosting demand in surrounding areas.
• A three-bedroom semi-detached family home can typically be rented out for between £1,000 and £1,250 per month, with higher rents possible in more desirable areas.

The Future is Bright

With a combination of low prices, high yields, and strong tenant demand, the North is a landlord’s paradise. So, if you’re looking to invest in buy-to-let, forget London and head north – your wallet will thank you!