The current stamp duty holiday has created great a great investment opportunity in property for investors. The threshold rise to £500,000 for stamp duty land tax (SDLT) means an investors into a £499,999 buy-to-let property will save almost £15,000.
The scheme finishes at the end of March 2021, so investors have until then to take advantage of the rate cut. To help you decide where to make a new buy-to-let investment, here are some of the best places in the UK for investment opportunities in property right now.
These recommendations are based on research by CIA Landlord, who compared house prices with rental income to work out where investors will best benefit from the stamp duty holiday.
Investment opportunity in property – Salford
Salford in Greater Manchester comes out on top. It has below average house prices at £173,111 but relatively high rents at an average of £1,052 per month. Taking advantage of an investment opportunity in property in Salford will save you £966.
Manchester itself comes in second place with its average house prices of £193,681 and monthly rents of around £1,141. During the stamp duty holiday investors can expect to save £1,374 when buying a property here.
There are some fantastic investment opportunities for property in Manchester right now, including Manchester Waters Phase III, where apartments start at £119,950 and yields are expected to reach 7%; and No 1 Old Trafford with units starting at £170,000 and expected gross yields of 6%.
In third place is Leeds. The stamp duty savings here are an impressive £1,848. There’s even an average property price of £217,415 and monthly rents of £1,216.
North Property Group are pleased to offer numerous investment opportunities for Leeds property. These include Centenary House, where units start at £127,000 and offer yields of 7.8%; Pearl Chambers with units priced at £159,500 and expected yields of 7.4%; and Victoria Riverside Apartments which start at £142,500 and offer yields of 7%.
The unprofitable south
The CIA Landlord research also looked at the least profitable places to invest in a buy-to-let property during the stamp duty holiday. Almost all of these are located in the south of England. With Crawly, Swindon and Croydon taking up the bottom three spots.
Not only does the north have a better performing housing market; many employers, developers, and people are leaving the south for the north of England. Buy-to-let investors are therefore also urged to look north for the best investment opportunities in property during the stamp duty holiday.
Contact us- investment opportunity in property
To find out more about taking advantage of the stamp duty holiday. Or investing in a northern buy-to-let property, contact North Property Group now.