Areas of York: Buy-to-Let Property Investment Hotspots
The City of York is one of the oldest and most historic cities in the UK. It’s one of the few places where you can buy a property with Roman or Viking origins... or even a genuine old haunted house if you want to. But York also offers a wide range of more contemporary properties. Added to this for a place with so much history York is still a very affordable property investment location.
Why Invest in York?
The City of York dates back to at least AD71. York was settled by the Romans who called it Eboracum, and later by the Vikings who called it Jorvik. Today York is the largest settlement in North Yorkshire with a population of around 198,000.
Thanks to all this history, the modern-day City of York is a huge tourist hotspot and receives around 6.9 million visits a year, according to Visit York. That’s really good news for property investors who might look into York holiday property opportunities.
York is also famous for its connections with the railways and chocolate making. York is the original home of Terry’s and Rowntree’s, now Nestle. The main industries in York today are services such as financial services, tourism, health and education. The tech scene is also growing fast in York.
For those who visit York some of the top tourist sites include York Minster, which dates back to 1220, York Castle Museum, the Yorkshire Museum, Clifford’s Tower, Jorvik Viking Centre, the National Railway Museum and The Shambles, a famous old medieval street. Other things to do in York include walking the famous York City Walls, which almost completely encircle the city, or taking a cruise on the River Ouse.
York Racecourse also attracts hundreds of thousands of visitors with famous race meets including the Ebor Festival which is held every August.
York is located almost exactly halfway between London and Edinburgh on the East Coast Mainline railway. London King’s Cross to York takes just 1 hour 52 minutes by LNER service. There are also good train services to Newcastle, Leeds and Manchester. York is also on the A64 road 22 miles from Leeds and also close to the A1 and M1. York also has an extensive park and ride system, allowing visitors to avoid the notorious York traffic and parking problems.
Would-be York property investors should keep an eye on plans for York Central. York Central is an exciting scheme to develop a whole new district on former railway land close to the city centre. York Central could have 2,500 homes and a commercial quarter creating up to 6,500 jobs. It’s claimed it could give a £1.16 billion boost to the economy.
The current Government have suggested that the House of Lords could move from London to York. Such a move could be a huge boost to the York property market.
York is also a student city offering landlords the chance to invest in student accommodation. York St. John University has around 6,000 students with a campus in the city centre. The University of York has around 18,000 students with Campus East and Campus West at Heslington. Askham Bryan College is a specialist land-based college based at Askham Bryan on the outskirts of York.
Popular areas for York student homes include Haxby Road in Clifton, Hull Road and Heslington Road near the University of York, Fishergate and Lawrence Street close to the city centre, The Groves and Haxby Road, Heslington, Heworth and Osbaldwick.
York is also, apparently, the most haunted city in Europe. So, York is a place where you can not only buy a house but buy a haunted house too!
Local Attractions
York offers a wealth of attractions and amenities for locals and visitors alike. Here is a selection of some of the best things to see and do:
- York Minster: Marvel at the biggest medieval cathedral in Northern Europe, considered one of the world's most beautiful Gothic buildings. Climb the 275 steps to the top of the central tower for breathtaking views.
- The Shambles: Stroll down this winding, cobbled street, believed to be the inspiration behind Harry Potter's Diagon Alley. Explore the quaint shops and cafes, and don't miss the Harry Potter-themed shops.
- York City Walls: Walk along the 2-mile circuit of medieval stone walls surrounding the city, offering a great way to orient yourself and enjoy city views.
- Clifford's Tower: Climb to the top of this imposing tower, the last remaining structure of York Castle, for panoramic views over the city.
- York Castle Museum: Immerse yourself in York's history, from recreated Victorian streets to toy exhibits and a convincing reconstruction of a Victorian street.
- Jorvik Viking Centre: Step back in time to the 9th century and discover the Viking settlement uncovered beneath the streets of York, complete with life-like animatronic characters and an audio guide.
- National Railway Museum: Explore over 100 locomotives and carriages, including famous trains like Stephenson's Rocket and the Shinkansen bullet train.
- York's Chocolate Story: Learn about York's long history of chocolate-making and create your own white chocolate lollipop. Don't forget to order a hot chocolate, voted the best in York.
- The River Ouse: Enjoy the banks of the River Ouse, with its lovely gardens and riverside architecture. Take a cruise or drive your own little red boat for a unique perspective of the city.
- Pubs: York is well-known for its pubs, with over 365 to choose from, including The Guy Fawkes Inn, where Guy Fawkes was born, and The Golden Fleece, said to be the most haunted pub in York.
- Brew and Brownie: Indulge in delicious cakes and pancakes at this modern cafe, known for its excellent coffee.
- Betty's Tea Rooms: Enjoy a traditional afternoon tea, complete with a fat rascal scone, a delicious cross between a scone and a rock cake.
- York Racecourse: Visit the world-famous racecourse for horse racing highlights like the Dante Festival and the season finale.
- York Maze: Spend a fun-filled day with the family, enjoying over 20 rides, shows, and attractions, including a giant maize maze and a tractor ride.
- York Bird of Prey Centre: Get up close and personal with over 90 birds of prey, including owls, hawks, falcons, and eagles.
- Yorkshire Air Museum: Discover one of the largest collections of aircraft in the country, with exhibits spanning from early aviation to Cold War-era jets.
- Breezy Knees Gardens: Wander through these spectacular gardens, featuring towering conifers, flowering borders, and statuesque fountains.
- SPARK:York: A local social and creative hub, SPARK:York offers street food from around the world, sound baths, and community initiatives.
Transport Links
York boasts excellent transport links, making it easily accessible by train, road, and air. Here is an overview:
York has direct rail links to Leeds and Manchester Airport and a frequent, fast train service to London King's Cross on the East Coast Main Line. The city is also served by the National Rail network, with train times and tickets available on their website.
York has a comprehensive bus network, with services across the city and free inter-campus shuttle services for students and staff. The Park and Ride services from locations around York offer convenient and affordable travel into the city, with buses running regularly.
York is ideal for exploring by foot or bike, with dedicated cycle routes and over 5,000 cycle parking spaces. The University of York encourages sustainable travel and provides an Intercampus travel guide for estimated cycle and walking times.
York is easily accessible by car, with good connections to major road networks. However, parking within the city is limited.
The nearest ports are Hull (45 miles away) and Liverpool (100 miles away). Ferries from Zeebrugge and Rotterdam dock daily at Hull.
Property Values
York property prices are slightly above the national average. The latest figures from HM Land Registry say that the average house price in York is £313,000, compared to the average price in Britain of £283,000.
However, property investors looking at York can buy a property for much less than this. Zoopla lists York house prices starting at around £125,000.
Yorkshire and Humber saw little change in the average house price over the past year, but York itself saw a 2.9% decrease from February 2023 to February 2024.
The average house price in York was £391,284 in May 2024, with an average (all-type) property price of £289,000. The average price of a detached house is £453,421, while flats are going for £179,917.
York's property values have risen by a third over the last decade—the fastest rate of any area in Yorkshire. Although it's no guide to future property price rises, it suggests York property investors could do well if history repeats itself.
When buying a property in York, bear in mind that some areas of the city centre are at risk of flooding from the River Ouse and River Foss. You can find out more about flood risk from the local authority.
Average Asking Price by Postcode Area
Last updated: May 2024
Data from HM Land Registry
| Postcode District | Average Asking Price |
|---|---|
| YO1 | £339,277 |
| YO19 | £455,371 |
| YO23 | £424,699 |
| YO24 | £329,178 |
| YO25 | £260,061 |
| YO26 | £382,046 |
| YO30 | £331,685 |
| YO31 | £320,184 |
| YO32 | £356,855 |
| YO41 | £349,289 |
| YO42 | £329,091 |
| YO43 | £275,848 |
| YO51 | £369,185 |
| YO60 | £468,636 |
| YO61 | £493,979 |
| YO62 | £355,063 |
Rental Demand
The rental market in York is currently experiencing high demand and low vacancy rates. Here is an overview of where we are in 2024:
- Rent Prices: The average rent in York is currently £1,489 per month, slightly higher than the national (UK) average rent of £1,223. Within York, rent prices vary depending on property type and location, with a single room averaging £665 per month and a four-bedroom house averaging £2,140 per month.
- Market Dynamics: The rental market in York is influenced by high demand and limited supply, leading to increasing rent prices. This demand is driven by a strong student population and the city's popularity among young professionals.
- Tenant Demographics: York has a diverse tenant population, including students, young professionals, and families. The University of York and York St John University contribute to a substantial student population, driving demand for rental properties.
- Supply and Vacancy Rates: The supply of rental properties in York is limited, with a low vacancy rate. This contributes to the market's competitive nature and puts upward pressure on rent prices.
- Landlord Considerations: Landlords in York face challenges due to rising costs, limited tax relief, and changing legislation. Some landlords are considering selling their rental properties, while others are navigating the complexities of energy efficiency upgrades and regulatory changes.
- Rental Yields: York offers rental yields of between 5% and 8%; attractive numbers to investors.
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 |
|---|---|
| YO1 | 4.8% |
| YO19 | - |
| YO23 | 3.5% |
| YO24 | 3.9% |
| YO25 | 3.3% |
| YO26 | 3.7% |
| YO30 | 4.5% |
| YO31 | 4.6% |
| YO32 | 4.0% |
| YO41 | - |
| YO42 | - |
| YO43 | - |
| YO51 | - |
| YO60 | - |
| YO61 | 2.4% |
| YO62 | - |
The Best Places to Live in York
York has been ranked among the best places to live in the North and Northeast of England, with 90% of state school pupils attending a school rated good or outstanding by Ofsted (report from 2021). Here are some of the best places to live in York:
- Fulford is a pretty, historic village on the outskirts of York, just 2 miles south of the city centre. It has a thriving community and a real village-like feel, with a wide array of property types on the market. It also has access to many parks, including Rowntree Park, Fulford Ings, and Walmgate Stray.
- Badger Hill is a quiet residential area on the outskirts of the city centre, popular with young families, couples, retirees, and first-time buyers. It has excellent public transport links, with buses getting you into town in 20-25 minutes.
- Clifton is just 1.5 miles outside the city centre, making it a convenient location for commuters to York, Leeds, or Harrogate. It's a popular area for families due to its well-regarded schools and friendly community feel.
- Osbaldwick is a historic village located 2 miles east of the city, popular with families and students due to its proximity to the University of York's Heslington East campus. It has good bus links and is perfect for keen cyclists, with the Sustrans National Cycle Route 66 running into the city centre.
- Bishopthorpe Road is a fun suburb of York, ideal for the younger generation that favours location over property. It's within walking distance of the city centre and is packed with independent merchants, including hardware shops, butchers, coffee shops, restaurants, and pubs.
- Acomb is a large suburb of York, home to supermarkets and a busy high street. It offers good schools and an abundance of housing options, with something for everyone when it comes to budgets. There are plenty of parks and outdoor facilities in the area, giving it a proper suburban feel.
- South Bank is a good area for people priced out of the city centre. It's been praised its independent shops and Rowntree Park.
Property Investment in York
Here’s our guide to property investment in the city centre and suburbs of York.
The City Centre
Population: 9,500
Average House Price: £240,000 - £370,000
York city centre is almost completely enclosed by the York City Walls and contains many historic and listed buildings. York is a very compact city too: All the city centre shops, pubs, restaurants and tourist sites are within around 10-20 minutes walk.
York city centre is a very popular location for city living. There’s a wide range of property on offer including traditional terraced houses, grand townhouses, apartments in converted buildings plus new-build apartment blocks some of which have penthouses with River Ouse or city views.
While you can buy to let in York city centre and let to local residents there’s strong demand for York holiday lets and holiday accommodation in this area too.
Yields here, in the YO1 postcode area, are 4.4%.
North York
Population: 67,000
Average House Price: £210,000 - £320,000
Suburbs to the north of York city centre include Clifton, Bootham, Rawcliffe, New Earswick, Huntington and Clifton Moor plus the separate large villages of Haxby and Wigginton.
These areas offer a range of property types and prices: Clifton itself is one of York’s smartest and pricier suburbs. Clifton Moor just to the north is a new build housing area largely built since the 1980s and is a mid-priced property area. Other areas here, such as New Earswick, were originally built to house workers at York’s famous Rowntree’s chocolate factory, now operated by Nestle.
Other advantages of investing in these areas of York include that York Hospital is located here, so there's a demand for accommodation from hospital staff. There are also large retail parks and business parks around Clifton Moor and Monks Cross which provide lots of jobs.
Yields here, in the YO30, YO31 and YO32 postcode areas, are between 4.4% and 5.3%.
East York
Population: 50,500
Average House Price: £260,000 - £280,000
Suburbs to the east of York include Fulford, Tang Hall, Heslington, Layerthorpe, Osbaldwick and Heworth. These areas were once villages which have been absorbed into York over the decades. They offer a variety of property from traditional old cottages, townhouses and housing estates built from the 1930s to the present day. They are generally mid-priced areas with good, value property.
The University of York has its campus at Heslington so all these areas are popular for York student lets.
4.7% yields are possible in YO10 although a student let should earn more.
South York
Population: 37,400
Average House Price: £300,000 – £350,000
Suburbs on the south side of York along Tadcaster Road and Bishopthorpe Road include Dringhouses, Nunthorpe and South Bank. Dringhouses offers mainly upmarket family houses. South Bank and Nunthorpe offer mostly Victorian property ranging from traditional terraced houses built for workers at Terry’s chocolate factory – which has recently been redeveloped into a residential area – up to grand detached houses.
The southern suburbs of York are smart residential areas. They benefit from good access to the A64 and the Knavesmire parkland area where York Races are held. The city end of Bishopthorpe Road – known as Bishy Road for short – offers independent shops, cafes and restaurants and is one of York’s trendiest suburban streets.
Further out, Bishopthorpe itself is a separate village offering traditional property where neighbours include the Archbishop of York who lives at Bishopthorpe Palace. Copmanthorpe is another separate village which offers good access to York but is also close to the A64 so good for commuters to Leeds and elsewhere.
Yields in YO23 are 4.1%.
West York
Population: 33,600
Average House Price: £200,000 - £280,000
Suburbs in this part of York include Holgate, Woodthorpe, Foxwood and Acomb. Holgate offers mainly traditional terraces and townhouses and is within walking distance of the city centre and York railway station. Woodthorpe, Foxwood and Acomb comprise mostly large housing estates built from the 1930s to the present day. They offer detached and semi-detached homes and are popular with family buyers and tenants. Acomb has its own high street with a good range of local shops and services.
The west side of York is generally a good-value property area. This means yields here are strong, being 5.3% in YO26 and 5.5% in YO24.