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Rental Yields North Tyneside 2016

06/07/2016
 
Rental Yields North Tyneside 2016

Expected rental yields are attractive in North Tyneside

With respect to rental yields in North Tyneside, it is important to review a number of the leading areas to ensure that your money is being deployed in the most appropriate manner. The three leading towns in North Tyneside are Wallsend, North Shields and Whitley Bay.

The expected rental yields for Wallsend, the NE28 postcode, are very attractive for investors. A one bedroom property in Wallsend offers a 9.01% rental yield and a two bedroom property is expected to provide a 6.07% rental yield.
 

There is also an attractive rental yield on offer in North Shields. The NE29 postcode area provides a 7.57% rental yield for a one bedroom property while two and three bedroom properties both offer expected rental yields well above 5%. If you have significant sums of money to invest in this area, you can expect an 8.26% rental yield from a five bedroom property.

Expected rental yields are attractive in North Tyneside

The NE30 postcode area, also representing north Shields, you can expect a 6.17% rental yield from a one bedroom property, a 5.24% rental yield from a two bedroom property while a five bedroom property provides a 7.15% rental yield.


With respect to Whitley Bay, the expected rental yields are not as attractive as what Wallsend or North Shields can offer, but investors will find that there is still an incentive to place their money into the North East of the country. The NE25 postcode area offers a 5.92% rental yield for a one bedroom property, a 5.18% rental yield for a two bedroom property and a 6.06% rental yield for a five bedroom property.


In NE26, you can expect a 5.73% rental yield from a one bedroom property and a 4.9% rental yield from a two bedroom property.

Newcastle rental yields are always worth examining

To provide some form of contrast, the NE1 postcode area of Newcastle offers a 6.24% expected rental yield for one bedroom properties and a 5.92% expected rental yield for a two bedroom property. This means that investing in Wallsend or North Shields should bring about a better rental yield than investing in the heart of Newcastle.


To provide further context to the rental yield figures, the average property price for Newcastle in March of 2016 was £152,748 while for flats, the figure was £118,772. The average property price in Wallsend as of March 2016 was £124,825 while for flats, the average figure was £77,640.


In North Shields, the average prices were more comparable to Newcastle with the average price coming in at £148,789 and the average price of flats was listed at £123,859. The average property prices in Whitley Bay were more the highest of all the areas examined, coming in at average price of £199,523 and an average price of flats coming in at £142,342.

The low price for flats in Wallsend is an indicator of the role that price can pay in rental yield. For instance investors can pay a relatively low amount for a property and receive a stronger return, for their investment than they would by buying in the heart of Newcastle landlords should look further afield when considering the North Tyneside property market for rental opportunities.

 


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