Leeds is fast becoming one of the best UK cities for buy-to-let investors. Here are ten reasons why you should add this northern jewel to your buy-to-let wish-list.
1. Huge economy
The Leeds economy is huge and growing at an amazing rate. One economic measurement is its gross value added (GVA). The GVA of Leeds is bigger than that of nine EU countries at £60.5 billion. The Leeds economy has also increased by 40% over the past ten years.
2. Northern Powerhouse effect
Leeds is perfectly positioned in the centre of the Northern Powerhouse scheme. This flagship government policy will directly benefit Leeds through substantial infrastructure upgrades. These developments will help Leeds grow even faster, thereby increasing property prices and housing demand.
3. Strategically situated
Not only is Leeds in the perfect location to benefit from the Northern Powerhouse, its excellent positioning also easily connects it to major UK and global cities. London is only a couple of hours away by train, while a journey to Manchester takes less than an hour. The nearby Leeds Bradford airport connects the city with the rest of the world.
4. Major property development
Over the past ten years there has been almost £5 billion of major property developments in Leeds. There is even a further £6.5 billion worth of projects in the pipeline for the coming years. The massive popularity of Leeds means demand for high quality rental housing will continue to be high; therefore now is the perfect time for property investment in Leeds.
5. Diversity of tenants
The variety of people living in Leeds means you can choose from a huge range of markets. Whether you want students, young professionals or even working families to rent your property, you’ve got plenty of options.
6. High student population
Leeds is one of the best cities to invest in student property in the UK. With 9 universities and numerous other institutes of further education, at any one time there are over 60,000 students in Leeds. There are even 9,000 international students from over 170 countries, often on significant scholarships.
7. Large workforce
Leeds also has one of the largest and fastest growing workforces in the UK – in fact it is second only to London. Many young professionals prefer to live in the Leeds city centre close to where they work, this can make a property investment here highly lucrative.
8. Business hub
There are more than 100,000 companies operating from Leeds, with more and more big names moving to the city all the time. It is the biggest financial and legal centre outside of London. Leeds also boasts a £1 billion tech centre, earning it the name of ‘digital capital of the North’.
9. Manufacturing industry
As well as the financial, legal and tech sectors, Leeds is also home to a healthy manufacturing industry. In fact, the Leeds manufacturing industry is the largest in the country and is worth over £7 billion.
10. Start-up centre
It’s much more cost-effective to run a business in Leeds than other parts of the country. This not only ensures the success of the city’s established businesses, but has helped create a great environment for start-ups. 2018 saw a 5.5% increase in the number of new businesses founded in Leeds, higher than the national average.