LendInvest has claimed that Hull is the top seaside postal area for landlords in England and Wales.
In its latest LendInvest Buy-to-Let Index, the firm looked specifically at coastal towns to find which areas offered the top average rental yields to landlords.
Hull is the UK City of Culture for 2017. Property investors who buy within the Hull postcode area can enjoy rental yields of up to 10.7% in seaside resorts like Withernsea.
The second best postal area for landlords is Blackpool. Landlords who invest in property in the town itself can enjoy rental yields of 8.2%, while tenants can make the most of being just a matter of minutes from the Pleasure Beach and donkey rides.
Llandudno in North Wales takes third spot with buyers in Colwyn Bay – birthplace of former James Bond Timothy Dalton – pocketing very healthy rental yields of 6.1%.
The best seaside postcode areas for landlords, and their top-earning towns are as follows:
|Postcode area||Top earning seaside town/village||Average rental yield|
|Portsmouth||Ryde (Isle of Wight)||5.1%|
|Peterborough||Chapel St Leonards||5%|
|Lincoln||Mablethorpe / Sutton on Sea||4.7%|
Christian Faes, co-founder and CEO of LendInvest, said: “When you think about investing in property in a seaside town, many will immediately think of places like Brighton and Eastbourne. But as our research makes clear, investing in the right Northern seaside towns, for example, could prove a lot more lucrative.
“Seaside towns often enjoy strong demand from renters, whether that’s for year-long tenancies or for a couple of weeks over the holiday months.
“However, it’s crucial that would-be property investors do their research on the area to gauge just how much demand there is, and what sort of competition they face. It’s not enough to rely on the allure of ice cream and sea air.”