Article Summary

Sheffield is often overlooked as a buy-to-let opportunity by investors. But it definitely shouldn’t be. With the 6th largest urban population in the UK and an economy worth £31 billion, it is a key city in England’s north. Here are five reasons why you should seriously consider Sheffield for your next buy-to-let property investment.

A Thriving Buy-to-Let Market

Sheffield has a very healthy population of almost 520,000 people, including a flourishing student centre. There are 70,000 students per year in Sheffield, all of whom need somewhere to live. Even if you aren’t interested in renting to students, 25% of graduates choose to remain in Sheffield after completing their studies.

The Sheffield Economic Plan aims to increase the city’s population by 70,000 by 2025, thereby boosting demand for housing. It is likely this ambition will be achieved thanks to Sheffield’s popularity as a place for people to live and work. It is one of the top cities for people choosing to relocate outside of London.

As well as creating high demand, a growing population means a very resilient buy-to-let market. House prices in Sheffield rose by 11% between 2016 and 2019 – 10% higher than London and the 6th strongest growth in the UK.

A Resilient Economy

Sheffield was long famous for its steel industry, but these days its economy is so much more.

The city’s fast-growing economy is now worth £7billion each year, with a GVA increase of £4billion since 1997. Sheffield’s strong economy is growing by an average of 5% each year.

Sheffield is now one of England’s top cities for manufacture and engineering. It is also quickly becoming a hub for financial services, digital and media industries, and technology. Some of the world’s biggest organisations have branches here, including Boeing, Rolls Royce and IBM.

The Sheffield City Region has recently launched a new strategy to further boost the city’s economy. By 2025, there are plans to have 70,000 more jobs, 6,000 more businesses and 30,000 high skilled occupations in the city, as well as a £3billion increase in GVA.

Excellent Transport Links

Thanks to Sheffield’s relatively central location in the UK, it is ideally located for travel and accessibility.

There are four airports within a 30 minute drive of Sheffield, helping secure the city’s international links. Sheffield is next to the M1, making it easy to connect to other major UK cities. Sheffield’s railway station is well-connected to the rest of the UK and can transport passengers to London in less than two hours.

Sheffield will also be served by the new HS2 route, further reducing travel times around the country. With HS2 combining with the Northern Powerhouse Rail project, journey times to Leeds and Manchester will be just 30 minutes.

Huge Regeneration

To help cope with the city’s rapid expansion, Sheffield is currently undergoing huge regeneration projects. These include high-quality residential developments, as well as major projects in the city centre to build new commerce and entertainment units.

One of the most significant of these projects is the Heart of the City Project 2. This £550million planned investment will bring the city centre into the 21st century. The areas the project will cover are West Bar Square, Castlegate, Kelham Island, and the Cultural Industries Quarter.

Cultural Growth

On average, 4% of the UK’s population work in disciplines that contribute to cultural output. In Sheffield this figure is almost double at 7.2%. This has helped make Sheffield a true cultural hub in the north of England.

Sheffield’s Cultural Industries quarter is dedicated to the creation of music, film, and sciences. Once an industrial area, Kelham Island has since transformed into a thriving independent scene with an eclectic mix of cafes, bars, breweries, shops, museums and art studios.

Contact us for buy-to-let property investments opportunities

To find out more about buy-to-let property investment opportunities, contact North Property Group today and find out what exciting opportunities are waiting for you in the heart of the Northern Powerhouse.