Leeds and Newcastle 'promise' buy-to-let growth

Tuesday 1st April 2008

Leeds and Newcastle have all the factors necessary to allow residential and commercial property to boom, real estate specialists have claimed.

Highlighting the strength of buy-to-let demand in cities with a large working population, property information website BuyAssociation claimed that it was crucial for investors to look closely at the make-up of a city.

Propertyinvesting.net recently claimed that Leeds is the UK's second financial centre after London, with BuyAssociation affirming the strength of working demand for rental accommodation in the city – and claiming it to still remain untapped.

Paul Collins, property editor of BuyAssociation, said: "A city that has lots of building going on and has lots of apartments on the market isn't going to be the best place for a buy-to-let investment because when people have a lot of choice it drives prices down."

"You need to look at cities where there is a shortage of rental property – Leeds is a really good example of that," he claimed, adding: "Newcastle has been coming up very quickly as well recently."

Newcastle's property outlook was boosted this month by news that the city's council would be investing an affordable housing programme to boost residential property stock in the west of the city. ADNFCR-1535-ID-18530745-ADNFCR