Hull: One of the cheapest places to rent in the UK?
Recent data from Rightmove has revealed that Hull is the second cheapest city in the UK for renters. This makes it an attractive option for those seeking affordable housing in a bustling urban environment.
While the cost of rent varies significantly across the UK, Hull stands out as a particularly budget-friendly choice. According to Rightmove, the average advertised rent in Hull is £804 per month which is up from £539 in 2019, a five year increase of 47%. This figure is significantly lower than the average rent in other major UK cities, making Hull a compelling option for those seeking to minimise their housing costs.
The affordability of Hull is further highlighted by its ranking on other lists of the cheapest cities for renters. For example, Zoopla, a leading property portal, lists Hull as one of the lowest-cost cities for renting in the UK, with an average rent of £612 per month in August 2024.
But wait, low rents equals low yields?
Rental yields in Hull average around 7.5%, significantly higher than in many other UK cities. In fact Zoopla place it 8th in a list of 75 sampled UK cities for the highest yields. This is due to a combination of factors, including affordable house prices and increasing tenant demand.
We often find that specific areas like HU2, HU3 and HU5 see an annual return on investment of 10% to 15% when we have refurbished a rental property. This makes Hull a compelling option for investors seeking strong returns on their investment.
While affordability is a major draw, it’s important to note that Hull offers more than just low rent. Hull City of Culture 2017 served as a catalyst for a new drive of positivity in the area and now the city boasts a growing economy and a vibrant cultural scene. With the refurbishment of the Fruit Market area reinventing itself, Hull now has a thriving retail sector, with a diverse selection of music and arts venues, restaurants, cafes, and pubs all located on the edge of Hull marina.
The economy is growing because of the ongoing investment in the city with the likes of Siemens Gamesa who located here in 2016. Their successful offshore wind turbine manufacturing facility situated on the the banks of the Humber, continues to see further investment, doubling it’s output in 2023. This area is set to increase further as there is a new drive from the recently elected government to push forward the expansion into offshore renewables.
Investing in Hull Property
For those seeking a balance of affordability with a decent yield, Hull presents a compelling option. Its low rental costs, coupled with its increasing economy as well as cultural and social offerings, make it an attractive destination for renters seeking a budget-friendly lifestyle in the UK while at the same time low house prices make it a must for investors to capitalise on the unique opportunities currently presented in Hull.
Sources:
Rightmove: 10 Cheapest Cities in the UK for renters:
https://www.rightmove.co.uk/news/articles/property-news/10-cheapest-cities-renters/
Zoopla: Cheapest Places to rent in the UK:
https://www.zoopla.co.uk/discover/property-news/the-cheapest-places-to-rent-a-home-in-the-uk/
Zoopla: Best Cities for Gross Yields for Buy to Let Properties in the UK:
https://www.zoopla.co.uk/discover/property-news/best-buy-to-let-locations/
