Location: Preston
Why buy in Preston?
Apart from a fast-growing population and excellent geographical location, there’s more to why Preston stands out in the UK property market compared to other investment hotspots.
Firstly, Preston has a bustling student population, a higher than average rental yield than the rest of the UK housing market, and is home to the UK’s defense and aerospace industries.
Compared to the likes of big cities such as Manchester, Preston is doing very well for itself as an upcoming city, if you’re an investor looking to cash in somewhere with a lot of high potential growth, this is the place.
Preston was even voted the best place to live and work in the North West in 2023 (Good Growth Index, 2023).
Don’t lose out; read on for more information about why Preston property investment should be your first choice.
Preston Property Investment
Preston is a hidden property investment gem set between two investment hotspots, Manchester and Liverpool. With a high employment rate, excellent transport links, and a growing population, it’s easy to see why Preston property is in demand. In fact, we’ve recently launched The Exchange, in Preston, which features brand new 1, 2 & 3 bedroom homes in the heart of the city centre.
As the largest city in Lancashire, houses to buy in Preston are failing to meet its’ growing demand; with an estimated 20,000 new jobs on the horizon thanks to recent regeneration plans, there’s no better time to invest.
Home to one of the largest universities in the UK and boasting easy transport links to London and North West airports, the UK housing market in Preston is steadily increasing in value.
Reasons to Invest in Preston
With competitive rental yield, some of the most affordable property prices in the UK housing market, and major regeneration projects underway, there’s no reason not to invest in Preston property.
Strong Rental Demand
Rental demand is at an all-time high in Preston. The demographic of renters is typically made up of young families, young professionals, and students.
This is thanks to the attractive employment opportunities and, of course, The University of Central Lancashire, which has a student body of around 33,000.
The rental yield in Preston is higher than the rest of the UK property market, coming in at 4.4%, which is above average. Landlords can expect up to a 7.1% yield for the PR1 postcode, according to (PropertyData.co.uk).
Affordable Property Prices
Preston also has one of the lowest UK housing market prices. The average house price in Preston is £162,000 in March 2024, up 2.7% since March 2023. Compared to Manchester for example, which is £238,000.
Preston is attracting a much younger buyer market due to these affordable prices. It’s inevitable, however, that houses to buy Preston-wise are going to get more expensive due to the local development projects happening and the rise of job opportunities, making it an excellent time to invest.
Preston Property: A Thriving Northern City
With a high employment rate of 80% and a forward-thinking attitude, Preston attracts a young professional population thanks to the vast job opportunities and high quality of life with a low cost of living.
As a hub for high-value business sectors such as finance and computing, Preston’s economy is ever-growing stronger each year.
With the recent £434m Preston, South Ribble, and Lancashire City Deal driving economic growth, Preston now has an economy worth £35bn and is looking to grow even further with the Preston 35 regeneration plan set in place from 2024-2035.
Regeneration and Development Projects
Preston has seen tremendous economic growth over the last few years due to the numerous development and regeneration projects in the city.
Some to name are the –
- University Of Central Lancashire Masterplan – This is a £200 million transformation plan set to create better, more sustainable campus grounds that will attract more prospective students.
- City Living Strategy – A huge opportunity for developers, this is based on the City deal, which had £430 million of public investment involved; the strategy aims to create a modern city with upgraded infrastructure.
- Preston Station Quarter Project – Aiming to create a commercial quarter around the station with grade-A office spaces and commercial space for future jobs and growth in the city.
- Harris Quarter Generation Project – The Harris Quarter is the cultural heart of Preston. The project aims to improve cultural and leisure opportunities, attracting more spending.
- Stoneygate Masterplan – Set on 25 hectares, this village will deliver over 1,600 homes in line with the city deal, creating an urban, vibran, modern village, a perfect opportunity for buy-to-let investors.
Preston Rental Market
The UK property market for rentals in Preston is thriving due to the city’s excellent transport links and low cost of living. Areas most in demand are Ribbleton, Fulwood, and Farringdon Park.
The most popular types of rentals are 1-2 bedroom apartments thanks to the booming student population from the nearby university. However, terraced houses and semi-detached houses are also in demand.
The average rental prices in Preston range between £625 a month for a room and 1,567 pcm for a house.
Preston Off-Plan Investment Opportunities
There are many attractive benefits to off-plan investment in Preston, from lower initial property investment prices to higher capital growth and better rental returns.
At the Heaton Group, we do not currently have any off-plan developments going, but our recently finished development, The Exchange in Preston, can be seen here, featuring 1, 2, and 3-bedroom homes available to buy to let.
Why Invest In Preston UK Property Market
With all the attractive opportunities, growing economy, and developments in the pipeline, Preston property investment is not to be missed.
Most investors will overlook Preston, looking to the more developed cities in surrounding areas such as Manchester and Liverpool. However, Preston has a tremendous amount of potential to outdo its neighbors in terms of investment opportunities and has higher yields for landlords.
With housing prices set to grow over the next few years, investing in Preston now is a golden ticket; whether it’s through an off-plan property investment or buying an investment property, don’t miss out.
Preston Connectivity
As we all know, connectivity is key when deciding on property investment locations, and lucky for you, Preston is full of it.
Based at the geographical heart of the UK, Preston is home to Preston station, a major station that is part of the West Coastline. London is only two hours away, making it ideal for young commuters.
Preston station is also set to be an HS2 hub station, with the London journey time being reduced to just 77 minutes!
Apart from excellent train links, there are also 6 major motorway links, and the city is close to North West’s airports.
Due to Preston’s Harris Quarter Towns Fund Investment Programme, infrastructures such as Preston’s Animate leisure complex are being built as well to improve the city’s entertainment options.
Train Network:
London: 2 hours(s) 14 min(s) Birmingham: 1 hours(s) 48 min(s) Manchester: hours(s) 43 min(s) Edinburgh: 2 hours(s) 24 min(s)
