Areas of Huddersfield: Buy-to-Let Property Investment Hotspots
Huddersfield likes to think of itself as a place of beautiful landscapes and friendly people. But how beautiful is it as a place for property investment? Here’s what you need to know about Huddersfield as a place to invest in buy-to-let.
Why Invest in Huddersfield?
Huddersfield is in the county of West Yorkshire. Huddersfield is partway between the cities of Leeds and Manchester. Huddersfield is the largest town in the Kirklees Council area.
Huddersfield is known as an industrial town originally based around wool processing and manufacturing. Today the main industries in Huddersfield are textiles, manufacturing, engineering and advanced engineering, chemicals, professional services and public services.
A number of well-known companies, some with a global reputation, are based in Huddersfield and these provide many jobs in the town. Companies in Huddersfield include FMG, Hoyer Petrolog UK Ltd., Mamas and Papas, Principle, Thornton & Ross, VTL Group, Incora (Wesco Aircraft), Camira Yarns, David Brown Santasalo, Cummins Turbo Technologies, Reliance Precision and Paxman Coolers.
Other significant employers here include the University of Huddersfield and the Calderdale and Huddersfield NHS Foundation Trust. The trust employs around 6,000 people at locations including Huddersfield Royal Infirmary and the Calderdale Royal Hospital at nearby Halifax.
Huddersfield has great connectivity. That makes Huddersfield attractive as a place to live to those who work in other towns and cities in West Yorkshire and also in Greater Manchester. Huddersfield is close to the M62 and A62 that connect to the rest of West Yorkshire and Greater Manchester.
Huddersfield railway station has direct services to Leeds and Manchester and many other towns and cities across the north. Huddersfield to Leeds takes approx. 29 minutes by train. Huddersfield to Manchester takes approx. 40 minutes by train.
Huddersfield is the main town for shopping and leisure in the Kirklees area. Sights in Huddersfield include Huddersfield Town Hall, which is a popular music and comedy venue, the Lawrence Batley Theatre and John Smith’s Stadium which is home to Huddersfield Town FC and Huddersfield Giants RLFC.
Huddersfield is known for its arts and cultural scene with events including the Huddersfield Literary Festival, Huddersfield Contemporary Music Festival and Huddersfield Carnival.
Other claims to fame are that Huddersfield is the birthplace of the Rugby League which was established here in 1895 and of former Prime Minister Harold Wilson.
Kirklees Council has a plan aimed at making Huddersfield an even more appealing place to live in, work in and visit. The Huddersfield Blueprint is a ten-year vision to create a thriving, modern-day town centre. The plan aims to deliver five key objectives for Huddersfield Town Centre: A vibrant culture, art, leisure and nightlife offer, thriving businesses, a great place to live, improved access and enhanced public spaces.
Huddersfield is also a university town so there are also opportunities for student property investors. The University of Huddersfield has over 20,000 students based at its town centre Queensgate campus. Huddersfield University specialises in subjects including arts and humanities, physical sciences, computer sciences, social sciences, clinical, pre-clinical and health, life sciences, engineering and technology, education, law, business and economics and psychology.
Transport Links
Huddersfield is very well-connected by road, with the A629 Halifax to Huddersfield corridor being a key route. The A638 Dewsbury-Cleckheaton road is another important transport link for the area. The town is close to the M62 trans-Pennine motorway, which links Humberside to Merseyside and connects several major cities in the north of the UK, including Liverpool, Manchester, Warrington, Hull, Halifax, and Leeds. The M62 also provides access to other major motorways, including the M57, M6, M60, M602, M66, M606, M621, M1, and M18.
Huddersfield Railway Station is located on St George's Square. TransPennine Express manages the station and offers step-free access to all platforms. The station provides connections to Leeds, Manchester, and beyond. In recent years, the TransPennine Route Upgrade has invested in the railway to improve services and connectivity.
Huddersfield has a long history of municipal transport, dating back to the 1880s when it became the first town to own its own transport system, including steam-powered tramcars. Over the years, these were replaced by electric trolleybuses and, later, motor buses. Today, First Bus Huddersfield operates in the area.
Property Values
Huddersfield is a very good value property investment area overall. Property prices in Huddersfield are well below the England national average house price and around 20% below the nearby city of Leeds.
According to the ONS, as of the end of 2023, the average England house price is currently around £285,000. The average Huddersfield (Kirklees) house price is now around £194,612.
It is possible to find an even cheaper buy-to-let property in Huddersfield. Zoopla listings show that it is possible to buy an investment property in Huddersfield for around £50,000.
Research on property xyz suggests that property in Huddersfield HD1 has returned up to 37.7% growth over the past five years.
Average Asking Price by Postcode Area
Last updated: May 2024
Data from propertydata.co.uk
| Postcode District | Average Property Price |
|---|---|
| HD1 | £160,914 |
| HD2 | £244,288 |
| HD3 | £218,249 |
| HD4 | £223,582 |
| HD5 | £189,887 |
| HD7 | £247,826 |
| HD8 | £314,518 |
House Price Growth
Figures taken from the House Price Index, November 2023, from the ONS for Kirlees.
| Date | Price | Date | Price |
|---|---|---|---|
| 2023-11-01 | £194,612 | 2008-11-01 | £133,903 |
| 2022-11-01 | £195,794 | 2007-11-01 | £145,731 |
| 2021-11-01 | £176,405 | 2006-11-01 | £138,395 |
| 2020-11-01 | £160,999 | 2005-11-01 | £127,479 |
| 2019-11-01 | £151,450 | 2004-11-01 | £115,236 |
| 2018-11-01 | £149,895 | 2003-11-01 | £90,684 |
| 2017-11-01 | £146,685 | 2002-11-01 | £71,479 |
| 2016-11-01 | £137,791 | 2001-11-01 | £56,834 |
| 2015-11-01 | £135,107 | 2000-11-01 | £52,857 |
| 2014-11-01 | £130,048 | 1999-11-01 | £50,095 |
| 2013-11-01 | £124,326 | 1998-11-01 | £47,069 |
| 2012-11-01 | £124,839 | 1997-11-01 | £46,691 |
| 2011-11-01 | £122,824 | 1996-11-01 | £45,629 |
| 2010-11-01 | £127,149 | 1995-11-01 | £44,792 |
| 2009-11-01 | £125,132 |
Rental Demand
Huddersfield’s property letting market offers opportunities to buy to let, to residents, and those who come to work in the Huddersfield area. Huddersfield also has a student accommodation market.
Home.co.uk’s Huddersfield Market Rent Summary reports that the average rent in Huddersfield is £632 per month at the moment. Landlords in the Huddersfield area could expect to earn an average of £503 PCM for a one-bed property, £668 PCM for a two-bed property, £694 PCM for a three-bed property and £786 PCM for a four-bed property according to their statistics.
Huddersfield buy-to-lets offer property investors strong yields. Research on property xyz suggests that investors can find long-let gross yields of 4.9% in the Huddersfield HD1 postcode area, 4.1% in HD2, 3.8% in HD3, 4.5% in HD4 and 4.5% in HD5.
This report from a local agent says the best areas of Huddersfield for rental returns are Marsh, Moldgreen, Fartown, Lindley and Crosland Moor.
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 |
|---|---|
| HD1 | 4.9% |
| HD2 | 3.8% |
| HD3 | 4.2% |
| HD4 | 4.1% |
| HD5 | 4.7% |
| HD7 | 3.7% |
| HD8 | 3.5% |
Landlord Licensing
At the time of writing (May 2024) Kirklees Council does not have a Selected Licensing scheme in place, nor are there any Article 4 Directions, used in the town. The council is however able to (as many other authorities have done) introduce such things at any time so if you are thinking of investing in buy-to-let or converting a home to an HMO, it is best to look into whether any licensing or permitted development rules have been announced.
However, as has been the case since the 1st of October 2018 and as is true for all of England and Wales, landlords must have a licence to operate an HMO in Huddersfield (an HMO being broadly defined as a property 'rented to 5 or more people who form more than 1 household').
The Best Places to Live In and Around Huddersfield
Huddersfield and its surrounding areas offer a range of desirable places to live, catering to different preferences, budgets, and lifestyles. Here are some of the best areas to consider:
- Lindley: This smart suburb to the west of Huddersfield offers a mix of Victorian terraces, interwar houses, and new upscale homes. It has excellent schools, open spaces, and convenient access to the M62 for commuters. Lindley also boasts a vibrant leisure scene with independent shops, bars, and restaurants.
- Honley: Located four miles south of the town centre, Honley offers a semi-rural lifestyle with well-kept Victorian and pre-Victorian buildings and a lively village centre. There are good schools, and the area is well-connected by train to Huddersfield and Sheffield.
- Kirkburton and Highburton: These picturesque semi-rural villages, set in beautiful countryside, are popular with those working in Huddersfield and Wakefield. They offer a mix of characterful stone buildings and modern detached properties, with good schools nearby.
- Holmfirth: Holmfirth is a highly desirable village, known for its idyllic location, historic buildings, and excellent bars and restaurants. It has good schools and is within easy reach of Huddersfield. It hosts a variety of family events, including the popular Food & Drink Festival and the annual duck race.
- Scissett and Clayton West: These semi-rural villages are equidistant from Huddersfield and Barnsley, with good links to Wakefield, South Yorkshire, and the M1. They are more affordable than other areas, with a three-bedroom house starting at around £150,000.
- Birchencliffe: This area is close to the desirable suburb of Lindley but offers more affordable housing and easier parking. It has basic shops on Halifax Road and is within easy reach of Lindley's independent shops and restaurants.
- Brighouse: Brighouse offers a wide variety of housing to suit most budgets. It has excellent amenities, including a large Tesco, Lidl, and independent shops. The town has good rail links to Leeds and Manchester.
- Longwood: Longwood, a semi-rural area, offers fabulous views across Colne Valley and characterful old houses. There are amenities nearby at Salendine Nook.
- Mirfield: This popular commuter village has excellent rail links to Leeds and Manchester. It offers a wide variety of housing and a vibrant village centre with independent businesses.
- Salendine Nook: Salendine Nook has reasonably priced modern properties and is very convenient for the M62. While it has a modest shopping village, nearby Marsh and Lindley offer better shopping centres.
- Moldgreen: Located just a mile east of the town centre, Moldgreen is becoming a hotspot for student living, with large shared houses ideal for groups of friends.
- Newsome: Located a mile south of the town centre, Newsome offers students a taste of village life, with a mix of houses and industrial conversions. It is conveniently located near the university and the town centre.
Property Investment in Huddersfield
Population: 162,900 approximately
Average House Price: £194,612
Huddersfield offers investors a wide range of property types. Typical Huddersfield house types include traditional stone-built terraced properties, large mainly Victorian period houses plus both old and new build housing estates with detached and semi-detached family houses. Buy-to-let investors will also find apartments, mostly in old converted mill buildings, in several parts of the town. Huddersfield’s inner suburbs are densely populated but the outer suburbs in the hills and valleys around the town offer more space and some are semi-rural.
Areas to the north of Huddersfield town centre include Birchencliffe, Cowcliffe, Deighton, Edgerton, Fartown, Fixby, Oakes, Salendine Nook and Sheepridge. These offer a mix of property types including some of Huddersfield’s cheapest properties and some of its more expensive areas.
Lindley, sometimes known as Lindley Village, is one of north Huddersfield’s most popular residential spots with both buyers and tenants. It offers sought-after schools and has its own local shops with fashionable bars and eateries. Lindley is also a popular place to live with those who work at Huddersfield Royal Infirmary nearby.
Locations to the north of Huddersfield are good for West Yorkshire commuters on the road network as there is access to the M62 at junctions 23, 24 and 25 and also good access to Halifax.
Areas to the east of Huddersfield town centre include Aspley, Moldgreen, Grove Place, Rawthorpe and Turnbridge. These areas have good access to Huddersfield town centre and the A642 towards the M1. The inner areas such as Moldgreen have good value property and are also popular for student accommodation and house shares.
Areas to the south of Huddersfield town centre include Almondbury, Armitage Bridge, Berry Brow, Lockwood, Longley, Newsome, Primrose Hill and Taylor Bridge. These are popular and quite villagey residential areas overlooked by Castle Hill, a well-known Huddersfield landmark. Berry Brow has a train station on the Huddersfield-Sheffield line.
Further to the south along the A616 and A6024 are the villages and small towns of the Holme Valley. These include Brockholes, Honley and Netherton plus Meltham and Holmfirth which is famous for its connections with the Last of The Summer Wine TV sitcom. These areas have good road connections into Huddersfield plus access to the M1, Barnsley and Sheffield. Brockholes and Honley have train stations on the Huddersfield-Sheffield line.
These areas are semi-rural but have shops, other amenities and popular schools. They are all sought-after Huddersfield residential areas but prices are generally higher than in the town itself.
Areas to the west of Huddersfield town centre include Crosland Moor, Marsh, Milnsbridge, Leymoor, Longwood, Paddock and Quarmby stretching along the Colne Valley. These areas have good access to Huddersfield on the A62. The inner areas are also partly commercial areas and have good value property prices.
Further out are locations including Linthwaite, Slaithwaite and Marsden. These small former mill towns and villages are semi-rural and have their own local amenities and good access on the A62. Slaithwaite (pronounced ‘Slawit’) and Marsden have train stations with half-hourly services to Huddersfield, Leeds and Manchester making them popular with commuters. Property in the most popular locations is more expensive than Huddersfield itself but still well below the national average.