Portsmouth, the Next Investment Hotspot
According to research by the inventory company NoLettingGo Portsmouth is No 11 in the top places to invest in property in the UK, this is based on the average rental yield.
Portsmouth comes in at No 11 with 5.81% – Average Property Price £221.041 – Average Rent £1100pcm
Out of 68 cities the closest to us in the table is Brighton and Hove at No 24 with 4.79%. In 1st place is Bangor with 9.24%.
This doesn’t surprise us at AJ Knight, we have been watching the increase in demand over the last few years. With a strong economy and demand outstripping supply, external research has forecasted that house prices will rise 17% in the next 5 years, which is ahead of both UK (13%) and London (11%) forecasts.
But, why invest in Portsmouth?
- The M27 corridor, and Portsmouth offers a very compelling investment case.
- A local economy that is growing stronger than the national average.
- A housing demand/supply imbalance.
- A left behind market that is due to catch up and is forecast to see price growth faster than UK and London.
- Extremely high rental yields (6-7%)
As one of the UK’s best-connected waterfront cities, with unrivalled links to Europe and the South East of England, Portsmouth is a wonderful place to work. It is home to leading companies such as BAE Systems, Pall Europe and a large regional hospital with not only local staff but a large influx of foreign health workers all requiring accommodation in the city.Portsmouth is a university city and has a large student population, and as such HMO properties are popular. Portsmouth remains a relatively cost competitive locations for investors with a fast-paced market.