Top 5 Reasons to Invest in Liverpool

At Regency Invest, we aim to identify the best performing locations in the UK for property investment, with a focus on areas with a high rental demand, strong rental yields as well as capital growth prospects.

Liverpool ticks all of these boxes and below we explore the top 5 reasons to invest in the city.

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1. Most Affordable Key UK City to Buy

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The average property price in Liverpool is just £185,232, which is low compared to Manchester at £200,471 and London at £678,273 (Zoopla), making it one of the most affordable cities to invest in property and an idea location for landlords.

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2. High Property Price Growth

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Liverpool has seen the highest capital growth over the past 12-months according to data from Hometrack of 6.3% and is set for continued growth.

It is expected to see continued growth as the North West of England property price growth is forecast at 28.8% over the next 5-years as it outpaces the UK market at 21.1%, which is why we focus our search for buy-to-let opportunities in cities such as Liverpool.

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3. High Rental Returns

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Liverpool has six areas ranked in the top 25 areas in UK for the highest returns in the Totally Money UK Buy-to-Let Yield Map 2019/2020, including the number one spot.

Rental growth of 11.5% is forecast for Liverpool over the next 5-years according to JLL.

Liverpool is also the best location for short-term lets, with 8 out of the top 10 high performing areas in Liverpool with returns of up to 27.2% (Landlord Today).

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4. Citywide Regeneration

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Liverpool is a key city within the Northern Powerhouse and is undergoing a huge transformation, with multiple regeneration programmes underway amounting to £15 Billion, improving the standard of living, career and business opportunities for residents. Two of the key regeneration areas include:

• Liverpool Waters – £5.5 billion regeneration of a mixed-use waterfront quarter of residential homes and office space in central Liverpool to benefit Liverpool city centre and North Liverpool’s infrastructure.
• Knowledge Quarter – £2 billion of investment to close the economic gap with London by creating and promoting the innovative industries that operate within the Knowledge Quarter.

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5. Strong Economy

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Liverpool has now become the second largest regional economy in the UK. Liverpool City Region is a major economy comprising of key employment sites and significant global companies, an internationally recognised City, with annual Gross Value Added (GVA) of £23.1 billion and 574,500 jobs. The Liverpool City Region has a thriving economy and has doubled in size from 1998-2016 (City Metric).

Liverpool is expected to see its average employment growth double from 2020 to 2023, the equivalent of 11,600 new jobs, with the greatest concentration of growth coming from the administrative & support service and health & social work sectors (EY 2020).

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The Best Buy to Let Opportunity in Liverpool

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Now is the time to buy and capitalise from the high levels of price and rental growth forecast the city. The exclusive Queen’s Residence in Liverpool offers 89-modern apartments less than 1-mile from Liverpool City Centre with some excellent incentives for early buyers, including full Stamp Duty Land Tax cover (excl. overseas surcharge), £1,000 legal fee contribution and 2% interest on deposited funds.

Prices start from just £125,000 with returns of 7% and return on capital invested (ROCI) of up to 13% with deposits from £37,500. Click here for further information.

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