Hull is the place to be – and if you’re looking to enter the world of property investment, you’ll struggle to find anywhere better than the UK City of Culture 2017. Affordable housing, plenty of availability, excellent yields and a booming rental market mean there are fantastic opportunities for both fledgling and career landlords.
In the latest edition of this ongoing series (read our previous guides to HU7 and HU10), we explore HU5, an area just to the west of the city centre. An expansive residential post code with a wide range of different housing and demographics, it’s one of the most popular areas with the city’s renters.
Located just to the north west of the city centre, HU5 is a fairly expansive post code, home to more than 50,000 residents. It’s conveniently located close to the centre of town, with excellent road links.
HU5 is a diverse, primarily residential post code. It’s home to the city’s aspirational avenues district, an area of tree-lined Victorian houses popular with affluent families, and the centre of the city’s burgeoning café culture district. It also houses Pearson Park, a lovely green space.
Further to the west of the postcode, HU5 features plenty of affordable housing, popular with young professionals and families alike. In terms of facilities, HU5 is home to plenty of shops, restaurants, parks and leisure centres. At the western edge of the area, the council run Springhead Park Golf Course borders the more affluent HU10 postcode.
Although there are large Victorian houses in the Avenues area of the post code, the majority of HU5 comprises of affordable 2 and 3 bed terraced housing.
These properties are always in high demand – there is an extremely buoyant rental market and at CJ Property, we are always inundated with requests from renters.
It’s the perfect place for investors, and offers plenty of opportunities for those looking to start or add to a portfolio. The west of the postcode offers some of the best opportunities – and in particular the areas around Wold Road and Moorhouse Road are always in high demand.
HU5 is somewhat unique, in that the rental market is very clued up about the local housing stock. Renters know what they are looking for, and whilst all the houses may look similar from the outside, there are some key features (such as a larger dining kitchen, off street car parking, a garage and an upstairs bathroom) that help properties to move more quickly.
Market analysis – Zoopla – October 2017
Average property values in HU5 are: £121,049
However, this figure is skewed somewhat by the larger properties to the East of the postcode. In reality, the average asking price for a 2-bedroom property is just £88,628.
Renovation properties can often be acquired for significantly less, and there are excellent opportunities for landlords to add value through extension.
Average rents across HU5 are £489 pcm, with average rents for 2 bedroom properties standing at £476 pcm.
Potential yields and real world opportunities
HU10 offers healthy average yields on two bed rental properties of around 6.44% – but with the right properties, investors can expect to generate significantly more.
With the right 2-bedroom terrace properties on the right streets, investors can realistically expect to gain gross yields of 8% or more. The area is always in demand with renters, and discerning tenants are prepared to pay more for the perfect properties. With the right streets, it’s possible to push the monthly rental returns well above the £500 mark.
Hull Buy to Let Property Advice from CJ Property
Hull is in the spotlight, expansive development is transforming the city centre and its reputation is changing fast – it’s the perfect time to start investing in Hull property.
HU5 is one of the best places to start – but whilst there are fantastic opportunities, it’s easy to make the wrong decisions. Getting honest, expert advice from a local property expert is the best way to ensure you invest in the right properties.
CJ Property’s team of experts is here to help you make the right decisions when it comes to investing in buy to let property in HU5, and across Hull and East Yorkshire.
Our local team of property investment professionals has vast knowledge and unrivalled experience in the local market, and we can help you at every step of your investment journey. From finding the right, desirable properties in the right areas, to looking after your portfolio and managing it on your behalf – we’re here to ensure you make the right decisions.
Ready to start your investment journey? Book your free, no obligation consultation with CJ Property – the Hull buy to let investment specialists. Call 01482 645270 today for further information.