Once best known for its musical heritage and maritime history, Liverpool is now one of the UK’s most promising buy-to-let investment cities. With attractive property prices, high rental yields, and extensive regeneration underway, the city presents a compelling case for investors looking for long-term returns. At Global Phoenix Group, we believe buy-to-let Liverpool opportunities deserve a place on every savvy investor’s radar. Here’s why.

Market Performance: The Latest ONS Data

According to the latest Office for National Statistics data, the buy-to-let in Liverpool market is showing exceptional performance:

• The average house price in Liverpool reached £174,000 in February 2025 (provisional), representing a substantial 9.3% increase from February 2024 – outperforming the North West regional growth of 8.0%
• Private rental prices have risen to an average of £839 in March 2025, showing an impressive annual increase of 9.9% from £764 in March 2024 – again exceeding the North West average increase of 9.0%
• First-time buyers paid an average of £161,000 in February 2025 (provisional), a significant 9.8% increase from February 2024’s average of £147,000
• For mortgaged properties, the average price reached £181,000 in February 2025 (provisional), up 9.1% from £166,000 in February 2024

These figures demonstrate Liverpool’s exceptional market momentum, making it an increasingly attractive proposition for those considering buying a buy-to-let in Liverpool.

Affordable Property Prices with Excellent Returns

Liverpool offers some of the most competitive property prices among the UK’s major cities. This lower entry point makes buy-to-let properties for sale in Liverpool an ideal option for both first-time investors and portfolio builders looking to diversify without overstretching capital.

Additional to the affordability, rental yields for Liverpool buy-to-let flats and houses are among the highest in the country. In 2025, many central Liverpool postcodes — such as L1, L3, and L7 — are generating gross yields of 6% to 9%, with strong tenant demand maintaining consistent rental income for buy-to-let property Liverpool investments.

The numbers tell a compelling story:

• Average yields across the city: 7-8.5%
• L1 postcode (city centre): 6.8-7.5%
• L7 postcode (Edge Hill/Fairfield): 8-9.5%
• Student areas: 8-10%

These remarkable figures are driven by the combination of relatively affordable property prices and strong rental demand across multiple tenant demographics, making buying a buy-to-let Liverpool property an attractive investment option.

Property Price Advantage

In addition to the consistent growth, buy-to-let Liverpool properties still offer excellent value for investors:

• Average property price: £174,000 according to latest ONS data (41% below the UK average)
• City centre apartments from £130,000
• Terraced houses from £120,000 in regeneration areas
• Annual price growth: 9.3% (past 12 months) according to ONS

This affordability creates an excellent entry point for investors, with lower capital requirements and reduced stamp duty obligations compared to many other investment hotspots, making buying a buy-to-let in Liverpool particularly attractive for those looking to maximise returns.

High Rental Demand and a Growing Population

Liverpool’s population is on the rise, driven by its growing reputation as a hub for students, professionals, and young families. With multiple universities — including the University of Liverpool and Liverpool John Moores — the student population alone is estimated to be over 70,000, creating substantial demand for buy-to-let flats Liverpool and larger properties.

This large tenant base creates year-round demand for rental accommodation, particularly in areas close to campuses, the city centre, and major transport links. Professional renters are also drawn to areas such as Baltic Triangle, Ropewalks, and Waterloo when seeking buy-to-let in Liverpool properties.

The rental market benefits from multiple strong tenant sectors:

Young Professionals
The growing digital, creative and financial sectors have created strong demand for city centre and dockside buy-to-let flats Liverpool investors are targeting.

Students
With over 70,000 students across four universities, including the Russell Group University of Liverpool, student accommodation remains a reliable investment sector for buy-to-let property Liverpool portfolios.

Families
The suburban rental market continues to perform well, particularly in areas with good schools and transport links, offering opportunities for those considering buy-to-let properties for sale in Liverpool’s residential neighbourhoods.

Tourism
Liverpool’s popularity as a tourist destination creates opportunities in the short-term and holiday let market, though recent regulatory changes require careful consideration.

Major Regeneration Projects

The city is undergoing significant transformation, thanks to billions in public and private investment, enhancing the potential of buy-to-let Liverpool investments. Key projects include:

• Liverpool Waters – A £5 billion development along the waterfront set to deliver commercial, residential, and leisure facilities.
• Knowledge Quarter – A major science and innovation hub boosting jobs and housing demand.
• Lime Street and city centre regeneration – Revitalising transport, shopping, and residential areas.

These initiatives are enhancing Liverpool’s appeal as a place to live, work and invest — and contributing to both rental demand and capital appreciation for buy-to-let property Liverpool investments.

Additional transformative developments include:

• £2 billion of regeneration projects currently active
• £400 million Paddington Village scheme in the Knowledge Quarter
• Everton FC’s new £500 million stadium at Bramley-Moore Dock

These projects continue to transform previously overlooked areas, creating excellent opportunities for investors buying a buy-to-let in Liverpool to benefit from both yield and capital appreciation.

Capital Growth Opportunities

Although Liverpool’s property market has already seen impressive growth in recent years, there’s still plenty of room for future appreciation. With regeneration and infrastructure upgrades in full swing, investors in buy-to-let Liverpool properties can expect both short- and long-term gains in property value.

Market analysts predict continued growth, with Liverpool potentially seeing 18-20% appreciation over the next five years as regeneration projects mature and connectivity improvements take effect, making buying a buy-to-let Liverpool property a sound long-term investment.

Key Investment Areas

Liverpool offers distinct investment zones for buy-to-let properties for sale in Liverpool, each with unique advantages:

Baltic Triangle
This former industrial area has transformed into a creative and digital hub with bars, restaurants and apartment developments. Yields remain strong despite price appreciation over recent years, making it popular for buy-to-let flats Liverpool investors.

Liverpool Waters
The £5.5 billion regeneration scheme is transforming the northern docklands with a mix of residential, commercial and leisure facilities. Early-phase investors have already seen substantial appreciation.

Knowledge Quarter
Home to the universities, Royal Liverpool Hospital and numerous science and research facilities, this area offers strong returns from both student and professional accommodation.

Ropewalks
A vibrant area known for its independent businesses, nightlife and converted warehouses, attracting young professionals and creative sector workers.

Waterloo
This coastal suburb north of the city offers more affordable entry points with good transport links and growing popularity among professionals and families.

Travel and Connectivity

Liverpool’s excellent transport links enhance the investment appeal of buy-to-let in Liverpool opportunities:

• Liverpool John Lennon Airport offering European connections
• Liverpool Lime Street station (under 2 hours 15 minutes to London)
• Extensive local rail network including Merseyrail
• £500 million investment in regional transport infrastructure

Why Choose Liverpool for Buy-to-Let?

• Top-tier rental yields, often exceeding 8% for buy-to-let Liverpool investments
• Strong student and professional tenant demand
• Low property prices relative to other UK cities
• Impressive price growth of 9.3% annually, outperforming the regional average
• Ongoing regeneration driving future growth
• Strategic location with excellent transport links

Liverpool’s exceptional yields, affordable entry points and ongoing regeneration make it a standout choice for buy-to-let in Liverpool for investors seeking both immediate returns and long-term growth. The city’s diverse economy, cultural appeal and improving infrastructure provide solid fundamentals for sustained property market performance.

At Global Phoenix Group, our Liverpool specialists have extensive local market knowledge and access to exclusive buy-to-let Liverpool properties and investment opportunities across the city. Whether you are interested in high-yield HMOs, assisted living properties, city centre apartments or suburban family homes, we can help you build a profitable Liverpool portfolio tailored to your investment goals.