Despite whispers of a slowdown, rental yields across England and Wales are holding strong at a respectable 7.2%.

That’s according to the latest buy-to-let Rental Barometer from Fleet Mortgages, which reveals good news for anyone with a property portfolio.

While rental yields are down slightly from the previous quarter (by just 0.4%), they’re still up a healthy 0.3% compared to the same time last year.

Fleet Mortgages reckons this is because rents have generally stabilised across most areas after a period of sky-high increases.

Where Are the Rental Hotspots?

• North East Reigns Supreme: The North East continues to be the rental yield king, boasting an impressive 9.7% return for landlords.
• North West Holds Strong: Following closely behind is the North West, with a solid 8% rental yield.
• Yorkshire and Humberside on the Rise: This region has jumped to third place, overtaking Wales with a healthy rental yield.

Meanwhile, Greater London and East Anglia are lagging at the bottom of the table with yields of 5.9%.

What About Rents?

• London Still Top Dog: Unsurprisingly, London remains the priciest place to rent, with the average monthly rent now a hefty £2,134.
• North East Remains Affordable: Good news for tenants in the North East – the average rent here has actually dropped to a more affordable £702 per month.

What Does it All Mean for Landlords?

The good news is that rental yields are holding steady, providing a reliable income stream for landlords. Plus, with mortgage rates falling, it’s becoming even cheaper to borrow money for your next buy-to-let investment.

However, Steve Cox, at Fleet Mortgages, warns that some landlords are in a holding pattern, waiting to see what the upcoming Budget means for their wallets. Will there be more tax hikes or increased costs to swallow? Only time will tell!