Areas of Norwich: Buy-to-Let Property Investment Hotspots
If things had turned out differently, Norwich could well be the capital of the UK. For hundreds of years, Norwich was the largest and most prosperous city in the country. While modern Norwich is no match for London’s hustle and bustle it’s highly rated for its quality of life. Surprisingly for a large city, it also has some of the lowest property prices in the whole region.
Why Invest in Norwich?
As of May 2024, Norwich remains an attractive prospect for property investors. The city has a lot going for it, including a high quality of life, a growing population, and a thriving student scene.
Norwich is the county town of Norfolk and is often regarded as the capital of East Anglia. The city has a population of around 143,000, but the surrounding urban area takes the total to over 200,000. Norwich has been named the 7th best-performing city in the UK and scores highly for quality of life in various surveys. It balances city amenities well and has a quieter, safer environment than many other cities, making it especially popular with families.
The city has a diverse economy, with major employers in sectors like business and financial services, public services, retail, light manufacturing, technology, and research. The city is well-known for Aviva (formerly Norwich Union) and the Norwich Research Park, home to 115 businesses and 3,000 scientists, researchers, and clinicians.
Norwich is a historic city, dating back to 43AD, and is a popular tourist destination. Main attractions include Norwich Cathedral, Norwich Castle, and the Norwich Market, which dates back to the 11th century. The city is also a hub for culture, music, theatre, and retail, with a mix of independent shops and national brands.
The city has good transport links, with frequent train services to London Liverpool Street, taking around 1 hour and 50 minutes. There are also rail connections to Cambridge, Stansted Airport, Sheffield, Peterborough, and Nottingham. Norwich Airport offers daily flights to Amsterdam and various holiday destinations.
Norwich is the closest city to the Norfolk Broads, a popular holiday location for boating and wildlife enthusiasts, providing further opportunities for holiday property investors.
And it is a university city, home to the University of East Anglia and Norwich University of the Arts, with a combined student population of around 16,000. Popular areas for student accommodation include Bowthorpe, North and West Earlham, Eaton, the city centre, and the Golden Triangle in southwest Norwich. Norwich was voted the 14th best city for students in the UK in 2023.
The city has a growing population, expanding employment opportunities, and a large student population, resulting in high demand for both rental and sale properties. One-bed and two-bed flats are particularly sought-after.
With its high quality of life, strong transport links, and diverse economy, Norwich remains an appealing prospect for property investors in 2024.
Local Attractions
Norwich offers a wealth of attractions and amenities, from historic sites to cultural experiences. Here is a selection of some of the best things to see and do:
- Norwich Cathedral: Explore the 900-year-old cathedral, boasting the second-tallest spire in England and the largest monastic cloisters. Enjoy the Norman architecture, medieval character, and tranquil surroundings.
- The Broads National Park: Discover the beauty of nature and wildlife in this unique park, with dramatic landscapes and raw natural beauty.
- The Plantation Garden: A hidden gem in the heart of the city, this restored Victorian garden offers peace and tranquillity, along with interactive displays and acres of parkland.
- Norwich Castle Museum and Art Gallery: Housed in a 900-year-old Norman keep, this museum showcases archaeology, natural history, and fine art.
- The Sainsbury Centre for Visual Arts: Part of the University of East Anglia, this modern structure displays works by Picasso, Giacometti, and Henry Moore, along with a sculpture park.
- The Museum of Norwich at the Bridewell: Delve into the history of Norwich's industries and admire the recreated early 20th-century chemist shop.
- City of Norwich Aviation Museum: Aviation enthusiasts will delight in the displays of vintage military and commercial aircraft, including a Vulcan Bomber and a Hawker Siddeley Nimrod.
- The Lanes: Wander through the Norwich Lanes, a series of pedestrianised lanes and streets filled with quirky independent boutiques and the Victorian Royal Arcade.
- The Forum: A contemporary landmark, The Forum is a hub for community events, street performances, and markets.
- The Assembly House: Indulge in a traditional afternoon tea in this beautifully decorated Georgian room, complete with tiered stands and fine china.
- Norwich Puppet Theatre: One of only three building-based puppet theatres in England, this venue offers original shows and workshops for all ages.
- St Peter Mancroft Church: Explore one of Norwich's largest medieval churches, boasting an 11th-century Norman foundation and a 16th-century Flemish tapestry.
- Riverside: Enjoy modern entertainment venues, eateries, and retail parks along the riverfront.
- Eaton Park: Norwich's largest park offers boating, tennis, mini-golf, woodland walks, and meadows, along with a miniature railway.
- The Norfolk Broads: Explore the tranquil waterways, abundant wildlife, and stunning landscapes of this unique nature reserve.
- BeWILDerwood: A woodland adventure park with zip lines, treehouses, and rope bridges, perfect for family fun.
- The Cathedral of St John the Baptist: Admire the fine Victorian Gothic Revival architecture and intricate carvings of Norwich's second cathedral.
- Tombland Alley: Start your exploration of historic Norwich from this former Saxon marketplace, leading to the idyllic tranquillity of the Cathedral Close.
- Dragon Hall: Discover this restored medieval trading hall, once part of an international trading empire, now home to the National Centre for Writing.
- Mousehold Heath: A nature reserve just outside the city, offering a unique combination of heathland, woodland, and open spaces.
Transport Links
Norwich and the surrounding area benefit from a comprehensive network of transport links, including rail, road, bus, and air. Here is an overview:
- By Train: Norwich has excellent rail connections, with Greater Anglia trains departing London Liverpool Street every 30 minutes, and East Midlands trains operating from the Midlands. The East Coast Main Line passes through the region, with express trains stopping at Peterborough, and local services stopping at St Neots and Huntingdon. The Great Eastern Main Line, with Norwich as its terminus, connects the city to Ipswich, Stowmarket, and Diss.
- By Bus: Norwich has a well-developed bus network, with services provided by First Bus, Konectbus, and Lynx. The Norwich Park and Ride service offers convenient and affordable travel into the city, with five sites on the ring road and buses running up to every 20 minutes.
- By Car: Norwich has excellent road links, with three and two-lane roads leading directly to the city from most parts of the country. The main routes are the A12 from London, the A14 from the Midlands, the A47 from the north, and the M11 from North London.
- By Air: Norwich International Airport, located just 4 miles from the city centre, offers domestic and international connections. Destinations include Aberdeen, Edinburgh, Guernsey, Jersey, and Manchester, as well as worldwide connections via Amsterdam with KLM. Stansted Airport is also nearby, located in northwest Essex.
- By Ferry: For those travelling by sea, the ferry port at Harwich provides connections, and the Stena Line offers a rail and sail service from Amsterdam and Rotterdam to Norwich via Harwich International.
Property Values
Property prices in Norwich vary depending on location, property type, and market conditions. Here is an overview (as of May 2024).
The average property price in the Norwich area is around £298,000, with a median price of £260,000. The most affordable area is NR30 2, with an average price of £126,000, while the most expensive is NR25 7, with an average of £792,000.
Between April 2023 and March 2024, most properties sold in the £200,000-£300,000 price range. The average property price in Norwich declined by 4% over the last twelve months.
Detached properties in Norwich have an average price of £453,000, while flats are more affordable at £158,000. The average price of a newly built property is £328,000.
According to Zoopla, the cheapest investment properties in Norwich start at around £75,000.
Norwich offers more affordable property options compared to the East of England region. The average house price in the East of England is £325,710, while the average house price in Norwich was £239,687 as of February 2024.
Average Asking Price by Postcode Area
Last updated: July 2024
Data from HM Land Registry
Postcode District | Average Property Price |
---|---|
NR1 | £231,952 |
NR2 | £294,209 |
NR3 | £230,267 |
NR4 | £393,075 |
NR5 | £285,646 |
NR6 | £300,801 |
NR7 | £313,629 |
Rental Demand
As of May 2024, property investors considering Norwich as a buy-to-let option can expect demand from local residents, commuters, university students, and tourists.
Norwich is the county town of Norfolk and is often regarded as the capital of East Anglia. The city has a population of around 143,000–145,000 and is known for its high quality of life, being both quieter and safer than many other cities. Norwich is a major business and commercial hub, with employers in sectors like business and financial services, public services, retail, light manufacturing, and tech.
Norwich is also a tourist destination, with attractions including Norwich Cathedral, Norwich Castle, and the Norwich Market, which dates back to the 11th century. The city is further known for Norwich Union (now Aviva) and the Norwich Research Park, where 3,000 scientists, researchers, and clinicians work.
Norwich is a university city, home to the University of East Anglia and Norwich University of the Arts, with a combined student population of around 16,000. As such, there is demand for student accommodation in areas like Bowthorpe, North and West Earlham, Eaton, the city centre, and the Golden Triangle in southwest Norwich.
According to Home.co.uk as of May 2024, the average rent in Norwich is £1,413 per month. Landlords can expect to earn an average of:
- £984 PCM for a one-bed property
- £1,209 PCM for a two-bed property
- £1,439 PCM for a three-bed property
- £1,821 PCM for a four-bed property
- £2,434 PCM for a five-bed property
The East of England, of which Norwich is a part, is one of the fastest-growing regions in the UK in terms of population and economy. The region also boasts the third-highest GDP per capita in the country, as of 2017.
Norwich is close to the Norfolk Broads, a popular holiday location for boating and wildlife enthusiasts. This provides further opportunities for holiday property investors.
In summary, Norwich is a desirable location for buy-to-let investors due to its high quality of life, strong transport links, and demand from various tenant groups.
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: July 2024
Postcode District | Average Rental Yield |
---|---|
NR1 | 5.7% |
NR2 | 5.3% |
NR3 | 5.5% |
NR4 | 5.1% |
NR5 | 6.7% |
NR6 | 4.6% |
NR7 | 4.8% |
Landlord Licensing
Norwich City Council has implemented various measures to regulate landlords to ensure high standards of accommodation for tenants. These include Article 4 Directions, HMO licensing, and accreditation schemes.
Article 4 Directions
Article 4 Directions are in place for certain houses within conservation areas, requiring planning permission for changes that would usually be considered permitted development. In Norwich, these directions cover predominantly Victorian houses in Heigham Grove and Bracondale, properties from the 1960s and 1970s in Conesford Drive and Churston Close, and two groups of Victorian terrace houses in the city centre on Bishopgate and Calvert Street.
There is also an Article 4 Direction relating to the conversion of offices to residential properties in the city centre, which requires planning permission for any change of use.
HMO Licensing
A House in Multiple Occupation (HMO) is a property shared by five or more unrelated tenants, each renting a room and with access to communal space. HMO licensing is nationally mandatory for properties with five or more occupants, and the council is working towards requiring a licence for all properties with three or more unrelated tenants.
The cost of an HMO licence varies depending on the length: £322 for a 1-year licence, £420 for a 3-year licence, and £492 for a 5-year licence.
Selective Licensing
As of July 2024, Norwich City Council was considering plans to introduce selective licensing, which would require all landlords to obtain a licence before renting out their properties. This scheme, if approved, would be implemented in stages, with shared houses or HMOs as the initial target.
Local Landlord Associations
The Eastern Landlords Association, based in Norwich, is a highly regarded local landlord association offering support and advice to reputable landlords.
The Best Places to Live In and Around Norwich
Norwich has been named one of the best places to live in the UK, offering a unique blend of history, culture, and a strong sense of community. Here are some of the best areas to live in this charming city:
- The Golden Triangle: Located west and southwest of the city centre, stretching towards Unthank Road and Earlham Road, the Golden Triangle is highly sought-after. It offers a mix of property types, from Victorian terraces to modern flats, and provides easy access to the city centre and some of Norfolk's best schools.
- Old Catton: Just 2 miles north of the city, Old Catton is ideal for those seeking a village feel. It offers a range of modern and detached properties, with easy access to the city centre and the surrounding Norfolk countryside.
- Cringleford: A 20-minute drive or bus ride from the city, Cringleford has excellent access to the A47 and A11 roads. It boasts a low crime rate and offers a primary school, shops, parks, and a strong sense of community.
- Thorpe St Andrew: Located on the banks of the River Yare, just a couple of miles from the city centre, Thorpe St Andrew has a good range of amenities, including pubs, restaurants, supermarkets, and schools.
- Eaton: Eaton is a desirable suburb with a distinct village feel and the highest concentration of thatched buildings in Norfolk. It features a popular park with a boating lake and a miniature railway.
- Costessey: Five miles from the city centre, Costessey offers a range of local amenities, including schools, parks, shops, and healthcare services. It is considered a low-crime area.
- Taverham: Taverham is a quiet village located 5 miles from Norwich, with a very low crime rate. It has a range of schools, a library, a church, a pub, and a recreation centre.
- Hellesdon: Just a 10-minute drive from the city, Hellesdon offers a mix of independent shops and an Asda superstore. It has excellent educational facilities, with three infant schools, two junior schools, and a high school.
- Sprowston: Sprowston is a low-crime area, just 2 miles from the city, with an infant, junior, and high school. It also has a selection of local stores and a retail park.
- Drayton: A 20-minute drive from the city, Drayton is another low-crime area with excellent educational facilities, including a junior and infant school. It also has a post office, bank, and doctor's surgery.
- Bowthorpe: Bowthorpe is a convenient location for those working in the food and drink industry, with Greene King PLC being a major employer in the area.
Property Investment in Norwich
Here’s our guide to buy-to-let in and around the City of Norwich.
Norwich City Centre and Inner Suburbs
Norwich has a fairly small city living market but it appeals to those who work in the city centre as well as students. Investors can choose from newly built apartment blocks and period conversions. There are also some streets with grand old houses together with traditional terraces.
Norwich inner suburbs include Friars Quay, Norwich Over The Water and Thorpe Hamlet. The Friars Quay area is a city living type development built in the 1970s. Norwich Over The Water is an area across the River Wensum from the city centre with good city-centre access but also its own amenities. It features mainly Victorian terraces and is a popular, fashionable yet good-value part of the city.
North East Suburbs
Districts in the north-east of Norwich include Catton, Old Catton, New Catton, Sprowston and New Sprowston, Heartsease plus Thorpe End and Thorpe St. Andrew.
This part of Norwich has recently benefitted from the opening of the A1270 Broadland Northway bypass road which has improved access to this part of the city. It is likely to make it more attractive to live in and for future development. These areas also have good access to the Norfolk Broads and the Norfolk coastline and beaches.
South East Suburbs
South-east Norwich districts include Lakenham, Old Lakenham and Tuckswood. They have good city-centre access and good access to the A47 for those commuting or working out of Norwich. They’re generally areas with good-value properties.
South West Suburbs
South-west Norwich districts include Mount Pleasant, Earlham, Colney, Eaton and Cringleford. These areas are popular Norwich residential areas for several reasons: They have good access to both the city centre and the A11 and A140. Also, the campus of the University of East Anglia, Norfolk and Norwich University Hospital and Norwich Research Park are in this area.
South-west Norwich appeals to students, professionals and staff who work at the university, hospital and research park and particularly to family buyers and tenants. The area, known as the Golden Triangle (around Earlham Road, Newmarket Road and Unthank Road areas), is one of Norwich’s most sought-after residential areas.
North West Suburbs
Northwestern districts of Norwich include Heigham Grove, Hellesdon, Upper Hellesdon, Costessey, New Costessey, Bowthorpe and the separate settlements of Drayton and Teverham. Bowthorpe, in particular, has its own shops – including the famous Roys which is a Norfolk institution – and the Bowthorpe Industrial Estate where a number of businesses are located.
While the inner districts are mid-priced property areas many of the villages to this side of Norwich are amongst the city’s smartest and most expensive residential locations.
Other Areas To Consider
Norwich property investors might like to look further out too. Here are some other areas you could consider.
Great Yarmouth
Great Yarmouth is 20 miles east of Norwich. On the River Yare at the entrance to the Norfolk Broads, it is a traditional seaside resort attracting large numbers of visitors in the summer. It is also a service centre for the offshore oil and gas and renewable energy sectors. Great Yarmouth’s economy has struggled in recent decades and it is a low, property price area which has attracted many investors looking for cheap buy-to-lets.
Lowestoft
Lowestoft, around 22 miles east of Norwich, is located in Suffolk. It is a one-time fishing port and a popular holiday resort. It still attracts tourists and holiday homeowners but today the economy is based around services, light manufacturing (Birds Eye is located here) and renewable energy.
The town itself is a lower property price area compared to most of East Suffolk.