The 20 highest gross yields, all homes
Average rent (August 2026) against average price (July 2026) for each council area in England and Wales.
| # | Area | Region | Gross yield | Rent | Price |
|---|---|---|---|---|---|
| 1 | Newcastle upon Tyne | North East | 7.0% | £1,215 | £207,547 |
| 2 | Tower Hamlets | London | 6.6% | £2,453 | £447,796 |
| 3 | Portsmouth | South East | 6.5% | £1,368 | £251,220 |
| 4 | Manchester | North West | 6.5% | £1,373 | £252,309 |
| 5 | Bristol | South West | 6.4% | £1,883 | £352,262 |
| 6 | Nottingham | East Midlands | 6.4% | £1,014 | £190,200 |
| 7 | Southampton | South East | 6.4% | £1,257 | £235,977 |
| 8 | Blackpool | North West | 6.3% | £719 | £137,386 |
| 9 | Gateshead | North East | 6.2% | £804 | £155,550 |
| 10 | Kingston upon Hull | Yorkshire and The Humber | 6.1% | £694 | £135,511 |
| 11 | Salford | North West | 6.1% | £1,170 | £229,462 |
| 12 | Norwich | East of England | 6.1% | £1,142 | £224,323 |
| 13 | Lincoln | East Midlands | 6.0% | £942 | £187,079 |
| 14 | Middlesbrough | North East | 5.9% | £698 | £140,909 |
| 15 | Newham | London | 5.9% | £1,928 | £390,349 |
| 16 | Gosport | South East | 5.8% | £1,169 | £240,696 |
| 17 | Stoke-on-Trent | West Midlands | 5.8% | £715 | £147,377 |
| 18 | Liverpool | North West | 5.8% | £913 | £189,036 |
| 19 | Merthyr Tydfil | Wales | 5.8% | £754 | £156,721 |
| 20 | Sunderland | North East | 5.8% | £707 | £147,114 |
Best areas in each region
| Region | Highest gross yields |
|---|---|
| London | Tower Hamlets (6.6%), Newham (5.9%), Lambeth (5.6%) |
| South East | Portsmouth (6.5%), Southampton (6.4%), Gosport (5.8%) |
| East of England | Norwich (6.1%), Harlow (5.7%), Stevenage (5.5%) |
| South West | Bristol (6.4%), Exeter (5.6%), Gloucester (5.6%) |
| West Midlands | Stoke-on-Trent (5.8%), Birmingham (5.6%), Sandwell (5.6%) |
| East Midlands | Nottingham (6.4%), Lincoln (6.0%), Boston (5.5%) |
| Yorkshire and The Humber | Kingston upon Hull (6.1%), Leeds (5.5%), North East Lincolnshire (5.2%) |
| North West | Manchester (6.5%), Blackpool (6.3%), Salford (6.1%) |
| North East | Newcastle upon Tyne (7.0%), Gateshead (6.2%), Middlesbrough (5.9%) |
| Wales | Merthyr Tydfil (5.8%), Blaenau Gwent (5.7%), Rhondda Cynon Taf (5.5%) |
For flats alone, the highest yields are in Boston (10.7%), Merthyr Tydfil (10.3%), Middlesbrough (9.4%), Newcastle upon Tyne (9.3%), Blackpool (8.9%).
Reading the numbers
- Use them to compare areas. These are averages across every home and every tenancy, so they're lower than a typical buy-to-let yield. Investors buying cheaper flats or terraces in the same area often see 1 to 3 points more.
- Gross isn't net. Running costs, empty weeks, agent fees and repairs usually take 20% to 35% of the rent. The rental yield calculator works out net yield and the cash return on your deposit.
- High yield often means slower growth. Cheaper areas tend to yield more but may see weaker price rises and higher turnover. Look at both columns.
- Then check the area properly: the street, demand from tenants, licensing (see our London licensing checker), and the actual rents being achieved nearby.
Thinking of buying? Read is buy-to-let still worth it in 2026? first.
Questions landlords ask
Where are the highest rental yields in the UK?
On official averages, the highest gross yields are mostly in northern cities and some inner-city areas, with London's outer boroughs and the South East among the lowest. The table on this page ranks every council area in England and Wales.
What is a good rental yield?
Gross yields of around 6% or more are often needed for a mortgaged buy-to-let to cover costs at today's rates. Area averages here are lower than typical investor yields, because they include all homes and existing tenancies.
How is gross yield worked out?
A year's rent divided by the price, as a percentage. A £1,000 a month let on a £200,000 property has a gross yield of 6%. Net yield takes off running costs, which usually come to 20% to 35% of the rent.
How often is this updated?
Monthly, when the ONS publishes new rents and HM Land Registry new house prices.
Sources
- ONS: Price Index of Private Rents, UK: monthly price statistics
- HM Land Registry: UK House Price Index data downloads
Last updated 12 October 2026.