Britain’s top property portfolio yield rankings revealed

London might be a hotspot for property investors looking to buy ready-made portfolios – but the area with the highest yield potential is found elsewhere in the country.

Research by easyMoney that property portfolio investors have 884 options to choose from currently, with an average price of £1.2 million.

The average portfolio consists of 6.9 bedrooms each, which is £180,429 for each bedroom and an average yield of 3.4%.

The average rent per bedroom is £507, so an investor would make £3,494 per month from the portfolio.

‘Reliable returns over the long-term’

The chief executive of easyMoney, Jason Ferrando, said: “Property investment is extremely popular due to its reliable returns over the long-term and the repeated monthly rental income available in the short-term.

“Most investors start their journey with a single buy to let property, but for those who are looking to take the next step, ready-made portfolios can be the perfect option as much of the groundwork has already been done, and it’s much faster than building a portfolio piece by piece.”

He added: “Of course, buying a portfolio requires the investor to have large amounts of money up-front, and the ongoing requirements after purchase can be a lot for some investors to deal with, forcing landlords to work very hard for their monthly yield.”

Region with the most portfolios for sale

The region with the most portfolios for sale is London, which accounts for 19% of the total.

However, London is also the most expensive region, with an average portfolio price of £1.97 million.

The capital’s portfolios are also smaller than the national average, with 4.9 bedrooms each.

This lowers the rental yield to 2.1%, which is the second lowest in Britain. Only Wales has a lower yield of 2%.

Price and size ranges for portfolios

Other regions have different price and size ranges for portfolios and in the South East, investors would pay £1.4 million for a portfolio.

In Scotland, the average price is £1.2 million, in the East of England it is £1.1 million, while the cheapest region is the East Midlands, where portfolios cost £879,012.

This region also offers the second-largest portfolios, with 9.2 bedrooms each, and the second-highest yield, with 5.7%.

The best yield for a property portfolio, however, is in Yorkshire and Humber, where a portfolio with 11 bedrooms can be bought for £898,415 and deliver a 6.1% yield.

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