Areas of Bradford: Property Investment Buy-to-Let Hotspots
Bradford is often overlooked in favour of its bigger neighbour Leeds. But Bradford has many of the ingredients that make a promising property investment location. Bradford is a fast-expanding city with lots of underexploited potential... plus some of the lowest property prices in the UK. That makes Bradford a prime spot for property investors looking for cheap property, the hope of future price rises and to make a good rental income in the meantime.
Contents
- Why Invest in Bradford?
- Visitor Attractions In and Around Bradford
- Transport Links
- Property Values
- Average Asking Price by Postcode Area
- Bradford City Council’s Private Sector Lettings Scheme
- Rental Demand
- Average Rental Yield by Postcode Area
- Landlord Licensing
- The Best Places to Live in Bradford
- Property Investment in Bradford
Why Invest in Bradford?
Bradford has numerous appealing qualities that make it an attractive prospect for investors. Here's why you should consider investing in this dynamic city:
Bradford is a large city with a significant population of over 542,000 people, and this number is projected to grow to approximately 552,300 over the next two decades. The city has a diverse demographic, boasting the youngest population outside of London, with 29% under the age of 20. This provides a substantial market for both residential and commercial developments.
The city's economy is thriving, with a worth of over £11 billion, making it the tenth-largest city economy in England. Bradford's economy has experienced strong growth, and it is projected to increase by 25% over the next decade. The city is home to over 16,000 businesses, employing around 250,000 people, and contributing a combined turnover of more than £30 billion. Major employers include well-known names such as Morrisons, Yorkshire Water, and Yorkshire Building Society.
Bradford has also witnessed significant regeneration, with investments totalling around £1 billion in the economy, public spaces, and infrastructure. The City Park's Mirror Pool has become a unique focal point, and The Broadway shopping centre has transformed the city's retail offering. The city's status as the UK City of Culture for 2025 is expected to attract further investment and boost the local economy.
The University of Bradford, while small in student numbers, has a global reputation in various academic fields, and its large international student population makes it a hotspot for student property investment.
Bradford offers highly competitive property prices, with an average property price of £171,626, significantly lower than the UK average. This affordability, coupled with a strong rental market and high tenant demand, particularly from students and young professionals, makes Bradford an attractive prospect for investors seeking strong rental yields and capital growth.
In summary, Bradford's growing population, dynamic economy, ongoing regeneration, and affordable property market make it an enticing prospect for investors seeking diverse opportunities and strong returns.
Visitor Attractions In and Around Bradford
Bradford, UK, has swapped its reputation for wool for a reputation for curry, earning the title of Britain's Curry Capital. But there's more to this city than food. Here's a list of amenities and attractions Bradford has to offer:
- The National Science and Media Museum is a free museum devoted to the science and culture of light and sound technologies. It features fun educational exhibits, including the Wonderlab gallery, and three cinema screens, hosting events for children and festivals covering animation, retro TV, film and more.
- The Alhambra Theatre is regarded as the North's premier touring venue, hosting ballet, opera, variety, comedy, musicals, drama and Yorkshire's biggest pantomime.
- St. George's Hall is the oldest concert hall still in use, in Britain and the third oldest in Europe. It has hosted acts such as Iron Maiden, David Bowie, and Kiss.
- Nearby Haworth is home to the Bronte Parsonage, the former home of the Bronte sisters, and Top Withens, which is believed to be the real-life Wuthering Heights.
- The Keighley and Worth Valley Railway is a heritage steam railway that runs through beautiful Bronte Country.
- Lister Park is one of Bradford's largest and most popular parks, featuring flower gardens, a boating lake, tennis and basketball courts, and a children's playground.
- Bradford Cathedral is the city's oldest place of worship, featuring stunning stained glass by William Morris and impressive sculptures by John Flaxman.
- Cartwright Hall is a baroque-style art gallery in Lister Park, showcasing 19th and 20th-century British art.
- Salts Mill is a former textile mill that now houses art galleries, shops, and restaurants. It is also home to the UK's only permanent exhibition of David Hockney's art.
- Little Germany is a bustling area of Bradford with plenty of history and unique architecture. It is home to diverse shops, cafes, and the Bradford Playhouse.
- The Peace Museum is the only museum in the country specialising in the history and significance of peace and peace activism.
- Bradford's Industrial Museum showcases the city's industrial history, with displays on textile machinery, steam power, engineering, and motor vehicles.
- The Shipley Glen Tramway is the oldest working cable tramway in Great Britain, dating back to 1895.
- Bolling Hall is one of Bradford's oldest buildings, dating from the 14th century. It now houses a museum showcasing the history of life in Bradford since medieval times.
- East Riddlesden Hall is a 17th-century manor house with carefully preserved interiors and gardens.
- Cliffe Castle Museum is housed in an impressive neo-Gothic structure, featuring Victorian architecture and beautiful stained glass windows. The museum showcases industrial tools, natural history, archaeology, and local history.
Transport Links
Bradford is well-connected by road, rail, and air. The city has two train stations: Bradford Interchange, which is the main station, and Bradford Forster Square. The Interchange is served by Northern Rail and Grand Central services to London Kings Cross, while Forster Square is served by Northern Trains, with services to Skipton, Ilkley, and Leeds.
Bradford is easily accessible by car, with road links via the M1, M62, and A1(M) motorways. Leeds Bradford Airport is just 6 miles from the city centre, offering both international and domestic flights.
Manchester Airport is also within a one-hour reach of Bradford.
Property Values
Property values in Bradford are some of the most affordable in England. According to the HM Land Registry, as of March 2024, the average price of a property in Bradford was £174,000, which represents a 6.8% decrease over the previous 12 months. This data varies slightly depending on the source. For example, one source cites the average house price in Bradford as £161,614 in the last 12 months, while another gives a figure of £149,507.
The median property price in Bradford is £157,000, and the average price per square foot is £192.30, compared to the UK average of £332.57. The most affordable area in Bradford is 'BD1 5', with an average property price of £67,900, while the most expensive is 'BD23 5', with an average of £513,000.
The price of an established property in Bradford is around £186,000, while a newly built property will cost an average of £324,000. Most properties in Bradford are sold within the £100,000 to £200,000 price range.
Property portals like Rightmove and Zoopla offer insights into specific properties and their sale prices. For example, a flat or apartment in Bradford can be purchased for as little as £15,000.
Average Asking Price by Postcode Area
Last updated: July 2024
Data from HM Land Registry
| Postcode District | Average Asking Price |
|---|---|
| BD1 | £65,716 |
| BD2 | £197,731 |
| BD3 | £123,310 |
| BD4 | £161,546 |
| BD5 | £135,422 |
| BD6 | £168,352 |
| BD7 | £164,547 |
| BD8 | £166,204 |
| BD9 | £212,448 |
| BD10 | £249,094 |
| BD11 | £280,835 |
| BD12 | £203,765 |
| BD13 | £230,055 |
| BD14 | £205,341 |
| BD15 | £232,2522 |
Bradford City Council’s Private Sector Lettings Scheme
The Private Sector Lettings Scheme is a free tenant-finding service for landlords and agents, matching their properties to people seeking accommodation in the private rented sector across the Bradford district. The scheme offers incentives such as rent in advance, cash contributions towards initial costs, and bond guarantees for damage.
Rental Demand
Bradford's low property prices and strong rents make it an attractive prospect for landlords. The average rent in Bradford is currently £660 per calendar month (PCM), with some areas achieving rental yields of over 8%. This is significantly higher than the UK average of 3.74%.
Bradford's young population, with 29% under 20, means there is high rental demand from students, graduates, and young professionals. The city has a large student population, with over 9,700 students across two major universities, creating a strong demand for student accommodation.
The city's status as the UK City of Culture 2025 is expected to boost the local economy and attract further investment, which will likely increase rental demand.
Bradford's affordable property prices, strong rental yields, and growing economy make it a desirable location for landlords seeking high rental demand and profitable yields.
Average Rental Yield by Postcode Area
Rental yield is the rental return an investor can expect on their investment once costs have been taken into consideration.
Last updated: May 2024
| Postcode District | Average Rental Yield |
|---|---|
| BD1 | 12.0% |
| BD2 | 5.3% |
| BD3 | 6.6% |
| BD4 | - |
| BD5 | - |
| BD6 | - |
| BD7 | 5.6% |
| BD8 | 5.3% |
| BD9 | 4.3% |
| BD10 | 4.0% |
| BD11 | - |
| BD12 | - |
| BD13 | 3.2% |
| BD14 | - |
| BD15 | - |
Landlord Licensing
Currently, the only licensing that Bradford City Council requires of landlords is the standard England-wide HMO licence for houses in multiple occupation.
However, the Housing Act 2004 permits local authorities to introduce 'Selective Licensing' to privately rented properties in specific areas. This requires landlords in those areas to obtain HMO (House in Multiple Occupation) licenses. While Bradford Council has not yet created any Selective Licensing areas, they may do so if they are concerned about low housing demand, antisocial behaviour, or the need to improve socio-economic conditions in the area.
Bradford also does not use Article 4 directions in the city which are generally used to require landlords to apply for planning permission before converting a standard residence into an HMO. Like 'Selective Licensing' the authority could introduce this at any time.
Before investing in Bradford it is advised to check with the City Council to make sure there has been no change to licensing rules.
HMO Licenses
Bradford Council is responsible for the mandatory licensing of higher-risk HMOs in the district. A licence is required for properties occupied by five or more people, including children, or occupied by two or more households.
The licence application fee is split into two parts: an initial fee to cover processing the application and a final fee for the total cost of the licence. The initial fee is non-refundable.
The Best Places to Live in Bradford
Bradford has a range of desirable areas to live in, catering to different preferences and budgets. Here are some of the best areas to consider:
- North Bradford: This area offers two distinct markets. Manningham, an inner-city suburb, features some of the city's most affordable properties. In contrast, outer suburbs like Shipley and Bingley offer a more upmarket feel with shopping centres and amenities, while Saltaire and Baildon provide a village-like setting.
- East Bradford: Suburbs such as Fagley, Thornbury, Laisterdyke, Greengates, Apperley Bridge, Ravenscliffe, and Bowling offer easy access to Leeds and Bradford for commuters.
- South Bradford: Suburbs like West Bowling, Dudley Hill, Bierley, Wibsey, Odsal, Buttershaw, Low Moor, and Wyke provide good access to the M606 and M62 for those who need to travel for work, as well as employment opportunities at the Euroway Trading Estate.
- West Bradford: This area includes suburbs such as Little Horton, Great Horton, Lidget Green, Clayton, Heaton, and Allerton. Inner-city suburbs offer low-priced terraced homes, while districts further out feature mid-priced residential properties.
- City Centre: The city centre caters to various tastes, from older terraces to new-build apartment blocks and converted period warehouse buildings. The Listerhills area, just outside the centre, offers substantial houses with converted lofts, bay windows, and arched doorways.
- Suburbs for Families: Families seeking more space might consider suburbs such as Allerton, Eccleshill, and Clayton. Allerton features comfortable three-bedroom post-war semis, many with driveways and attached garages. Eccleshill, a popular village to the northeast, boasts characterful stone cottages and Victorian properties. Clayton, to the west of the city, offers a mix of terraced cottages and grand Victorian villas.
- Student Property Areas: According to Unipol, popular areas for student accommodation include the city centre, Clayton, Frizinghall, Great Horton, Heaton, Little Germany, and Manningham.
- Commuter Villages: Villages like Saltaire, Ilkley, Bingley, and Skipton offer attractive alternatives for those seeking a quieter lifestyle while still being within commuting distance of Bradford.
Property Investment in Bradford
Here are some tips on the different areas of Bradford for property investors.
City Centre
Population: 5,500
Average House Price: £90,567
In Bradford city centre investors can choose from older terraces, old and new build apartment blocks and converted period warehouse buildings. There are also student accommodation opportunities.
Bradford city centre's low house prices mean that investors could expect as much as 11% yield in the BD1 postcode. Just outside the centre Bradford BD3 could offer a 6% yield.
North Bradford
Population: 78,000
Average House Price: £55,000 - £250,000
North Bradford has two quite distinct property markets. Inner-city suburbs like Manningham have some of the city’s cheapest property. Outer suburbs are some of Bradford’s more expensive districts: The separate small towns of Shipley and Bingley have their own shopping centres and local amenities while Saltaire and Baildon are upmarket residential spots in a villagey setting.
In the inner suburbs based on BD8 Manningham investors could receive a 5% yield. Further out in BD17, covering Shipley and Baildon, 4% would be more likely.
East Bradford
Population: 68,500
Average House Price: £110,000 - £120,000
Like much of suburban Bradford, east Bradford offers a wide range of investment opportunities including traditional terraces and estates of both private and social housing. One advantage of east Bradford suburbs like Fagley, Thornbury, Laisterdyke, Greengates, Apperley Bridge, Ravenscliffe and Bowling is that they offer commuters, workers and shoppers easy access to Leeds as well as into Bradford.
East Bradford suburbs, based on BD4 and BD10, should offer at least 4% yield.
South Bradford
Population: 82,000
Average House Price: £134,00 - £150,000
South Bradford suburbs offer good access to the M606 and M62 for those who need to travel for work plus employment opportunities at the Euroway Trading Estate. Suburbs in this part of Bradford include West Bowling, Dudley Hill, Bierley, Wibsey, Odsal, Buttershaw, Low Moor and Wyke.
BD5 and BD6 areas should offer around a 4% yield.
West Bradford
Population: 81,200
Average House Price: £110,00 - £170,000
West Bradford reaches out from the city centre onto the fringes of the West Yorkshire moors. Suburbs here include Little Horton, Great Horton, Lidget Green, Clayton, Heaton and Allerton. Inner-city suburbs here offer low-priced terraced property while the districts further out are mid-priced residential suburbs.
Yields here, based on BD13 and BD14, are around 4%.