🏘️ Top UK Postcodes for High Rental Yields in 2025
1. Bradford (BD1)
- Average Yield: Up to 12%
- Case Study: A recent investor purchased a 2-bedroom flat in Bradford’s BD1 postcode for £100,000. Renting it out at £900 per month resulted in an annual rental income of £10,800, yielding a 10.8% return. (Property Insight)
2. Sunderland (SR1)
- Average Yield: 8.96%
- Case Study: An investor acquired a 1-bedroom apartment in Sunderland’s SR1 postcode for £80,000. With a monthly rent of £575, the annual rental income amounted to £6,900, achieving a yield of 8.63%. (peterheron.co.uk)
3. Liverpool (L7)
- Average Yield: 7–8%
- Case Study: A property investor purchased a 2-bedroom terraced house in Liverpool’s L7 postcode for £110,000. Renting it out at £850 per month provided an annual rental income of £10,200, resulting in a yield of 9.27%. (Portico Invest)
4. Plymouth (PL4)
- Average Yield: 10.2%
- Case Study: An investor bought a 2-bedroom flat in Plymouth’s PL4 postcode for £200,000. With a monthly rent of £1,500, the annual rental income was £18,000, yielding a return of 9%. (paragonbankinggroup.co.uk)
5. Cardiff (CF24)
- Average Yield: 8.9%
- Case Study: A landlord purchased a 3-bedroom terraced house in Cardiff’s CF24 postcode for £250,000. Renting it out at £1,850 per month resulted in an annual rental income of £22,200, achieving a yield of 8.88%. (Property Reporter)
6. Leeds (LS3)
- Average Yield: 8.5%
- Case Study: An investor acquired a 2-bedroom flat in Leeds’ LS3 postcode for £150,000. With a monthly rent of £1,200, the annual rental income amounted to £14,400, yielding a return of 9.6%. (Nest Hub Properties)
7. Glasgow (G1)
- Average Yield: 5.5–6.5%
- Case Study: A property investor purchased a 1-bedroom apartment in Glasgow’s G1 postcode for £120,000. Renting it out at £750 per month provided an annual rental income of £9,000, resulting in a yield of 7.5%. (propertydata.co.uk)
8. Nottingham (NG7)
- Average Yield: 8.5%
- Case Study: An investor bought a 2-bedroom terraced house in Nottingham’s NG7 postcode for £145,000. With a monthly rent of £1,150, the annual rental income was £13,800, yielding a return of 9.52%. (Flambard Williams)
9. Middlesbrough (TS1)
- Average Yield: 8.4%
- Case Study: A landlord acquired a 2-bedroom flat in Middlesbrough’s TS1 postcode for £70,000. Renting it out at £550 per month resulted in an annual rental income of £6,600, achieving a yield of 9.43%. (The Times)
10. Burnley (BB10)
- Average Yield: Up to 10.4%
- Case Study: An investor purchased a 3-bedroom terraced house in Burnley’s BB10 postcode for £85,000. With a monthly rent of £700, the annual rental income amounted to £8,400, yielding a return of 9.88%. (The Times)
📊 Summary Table
Postcode | Average Yield | Example Property | Purchase Price | Monthly Rent | Annual Income | Yield |
---|---|---|---|---|---|---|
BD1 | 12% | 2-bed flat | £100,000 | £900 | £10,800 | 10.8% |
SR1 | 8.96% | 1-bed apartment | £80,000 | £575 | £6,900 | 8.63% |
L7 | 7–8% | 2-bed house | £110,000 | £850 | £10,200 | 9.27% |
PL4 | 10.2% | 2-bed flat | £200,000 | £1,500 | £18,000 | 9% |
CF24 | 8.9% | 3-bed house | £250,000 | £1,850 | £22,200 | 8.88% |
LS3 | 8.5% | 2-bed flat | £150,000 | £1,200 | £14,400 | 9.6% |
G1 | 5.5–6.5% | 1-bed apartment | £120,000 | £750 | £9,000 | 7.5% |
NG7 | 8.5% | 2-bed house | £145,000 | £1,150 | £13,800 | 9.52% |
TS1 | 8.4% | 2-bed flat | £70,000 | £550 | £6,600 | 9.43% |
BB10 | 10.4% | 3-bed house | £85,000 | £700 | £8,400 | 9.88% |