Rental Demand
Preston’s buy-to-let market offers attractive rental yields and affordable property prices for investors. The city has a strong student population and a growing economy, with a young and growing population.
Preston’s population has grown by 5.4% between 2011 and 2021, and this growth is expected to continue, with a forecast increase of 66% by 2041. The city’s status as a hub for defence and aerospace industries, as well as its position as a leading tech hub, contribute to its economic growth.
The University of Central Lancashire, one of the UK’s largest universities, is a significant draw for students and young professionals, with a staff and student community of 38,000. The university’s £200 million Masterplan, including a new £60 million Student Centre, further enhances Preston’s appeal as an educational hub.
Regeneration projects, such as the UK’s £5 billion National Cyber Force Unit and the Preston Station Quarter Regeneration Framework, are transforming the city and boosting property prices and rents. The average rental yield in Preston is 4.2%, above the UK average of 3.38%.
Preston offers a range of property options, from affordable terraced houses to more expensive semi-detached family homes. The city’s proximity to Manchester and Liverpool, as well as its excellent transportation links, make it an attractive hub for those seeking cheaper living in the North West.
Overall, Preston’s buy-to-let market presents a mix of opportunities and challenges for investors, with strong demand from students and young professionals. There are, however, as with many places in the UK, potential difficulties arising from rising costs and legislative changes.