Due to huge regional variations in property investment UK areas, not every city offers the same level of investment returns.
This is even true when looking at individual cities, with regions in the city offering different levels of rental demand, house prices, and rental returns.
With this in mind, we’ve run the numbers and have worked out the top five best areas in Leeds for buy-to-let in 2024.
Below, you will find a look at the capital growth, rental returns, and house prices seen in the most popular Leeds buy-to-let areas.
So, if you’re looking at investment property for sale Leeds, or are looking for property to buy in Leeds, then this section is a must-read.
Leeds City Centre
Average House Price: £192,988 (Zoopla)
Average Rental Yield: 5.97%
One of the most popular areas in Leeds for investments, the city centre is amongst the key areas to consider if you’re looking for property to buy in Leeds.
City living most commonly appeals to students and young professional tenants who want to live close to their workplace, university, and the hustle and bustle of Leeds.
This means that if you want to target these desirable tenant types, Leeds city centre may be one of the best areas to look to for investments.
With affordable property prices of just £192,988 and returns of nearly 6%, Leeds city centre is offering a top prospect in 2024, with the area seeing 13% capital growth since 2019.
If you’re looking for flats to buy in Leeds city centre, prices are really affordable, t00.
Here, you can expect prices of just £129,764 for a one-bed flat to buy Leeds city centre, with two-bed flats to buy Leeds city centre valued at only £205,898.
factoring in this affordability with the upcoming South Bank scheme and a rising Leeds city centre population, and you have a recipe for success in this buy-to-let hotspot.
If you want to learn more about flats to buy Leeds city centre, be sure to contact our property specialists today to find out more about the latest offers.
Armley
Average House Price: £136,501 (Zoopla)
Average Rental Yield: 7.10%
Located to the West of Leeds, Armley is a popular location for Leeds property investors due to low house prices.
Mostly consisting of terraced houses, ideal for Leeds property investors looking to rent to families, you can find a home in Armley from just £136,501.
Yields in this area are strong thanks to the average property prices of £136,501 – which is lower than the average house price in Leeds.
It’s unclear how much house prices will increase in these suburbs. However, with overall growth predictions for Leeds property prices being so high, it’s likely that house prices will see some significant growth in Armley over the coming years.
Headingley
Average House Price: £320,481 (Zoopla)
Average Rental Yield: 6.30%
Another area that is one of the best areas in Leeds is Headingley.
Headingley is a big student hotspot in Leeds due to Leeds Beckett University campus, making it one of the best buy to let areas in the city for student investment.
However, the area is also becoming a lot more popular with families and young professional tenants due to the excellent transport links and local amenities available.
Rental yields have been known to reach as high as 6.30% in Headingley, thanks to incredibly high rent costs aimed at students.
In 2018, the Headingley Investment Fund was launched – a scheme created by local residents as a way to promote their local community.
Other recent regeneration plans include the redevelopment of Headingley Stadium, helping to bring funding and exposure to the area.
If you’re looking for houses or flats in Leeds to buy for an investment, Headingley is a great option.
Crossgates and Garforth
Average House Price: £263,645 – £277,165 (Zoopla)
Average Rental Yield: 6.00%
Two separate but nearby areas in Leeds, Garforth and Crossgates, present excellent property investment potential and are some of the best areas in Leeds.
Due to strong transport links, these suburbs have a high population of both young professionals and families who are looking to either buy a house in Leeds or rent.
Yields are likely to reach around 6% across the area, while capital growth potential looks high thanks to regeneration plans like the ELOR project.
This project involves the expansion of Thorpe Park business park, the introduction of a new railway station, and the development of around 5,000 new properties.
Prices here are far more expensive than other areas in Leeds, though, which is worth keeping in mind if you have a smaller budget.
Burley and Hyde Park
Average House Price: £208,833 -£231,645 (Zoopla)
Average Rental Yield: 6.00%
Located between the city centre and Headingley lie two popular inner-city Leeds suburbs.
The Burley and Hyde Park areas of Leeds are popular spots for student property investment due to the high number of students living in the area.
Yields in this area can come to a massive 8.06% but could go even higher for student properties, which are often low-priced.
Being so close to the city centre, it’s likely that property prices in Burley and Hyde Park will increase over time in line with the overall Leeds property price growth of 11.7% by 2027.
For those who want to buy property in Leeds, these inner-city areas in Leeds present a fantastic investment solution.