Table of Contents
Reasons to Invest in Preston's Buy-to-Let Property Market
High Rental Demand
When I talk to potential savvy investors, I always bring up how popular Preston is as a rental market. In all honesty, it’s hard to miss. Since the University of Central Lancashire (UCLan) is right in the middle of the city, there are always students looking for good rentals.
There are also recent grads who choose to stay here. Then, there’s Royal Preston Hospital and other big employers, which means there’s also a steady demand from healthcare professionals and local workers.
From what we’ve seen, properties near the university and city centre barely stay vacant, which is music to any landlord’s ears. It’s a reliable market, with low vacancy and stable income, two things we all want in an investment.
Having as the third largest city status in the North West, Preston naturally attracts a diverse tenant base. From students and healthcare professionals to young professionals and students, ensuring a steady demand for rentals.
For those looking to dig into numbers, I always recommend HM Land Registry and the Office of National Statistics data as useful resources to confirm Preston’s growth in population and employment. Both are on an upward swing, which only boosts demand here over the long term.
Affordable Property Values
One of the biggest draws in Preston, in my opinion, is how affordable property prices are compared to neighbouring UK cities like Manchester or Liverpool. In Preston, the average price of a house is about £165,000. This is not nearly as much as the average in the UK, which is £287,000. This means that real estate owners don’t need a lot of cash to begin building a buy-to-let estate.
This low entry price lets people diversify their property investments more easily. Instead of sinking everything into a single property, you might be able to snag two or three in Preston.
With the city’s ongoing growth and development projects, the chance for capital appreciation over the years is real. If you’re looking for an attractive place where your money can stretch further, Preston’s price point offers a great opportunity to start small and scale smartly.
High Average Rental Yield
Now, let’s talk rental yield in Preston, which is what most investors keep their eyes on. Preston has some seriously attractive returns, with average yields typically sitting between 6-8%.
In certain areas, like Ashton-on-Ribble and Ribbleton, we’ve seen even higher returns thanks to the balance of lower property prices and high rental housing demand. It’s these areas that often give the best bang for your buck in terms of rental income.
When guiding new property investors, we always point out how important it is to get a strong yield if you’re aiming for steady cash flow. With demand from students, healthcare workers, and young working professionals, properties here rarely go empty.
Focusing on a neighbourhood with a proven good rental yield can make a big difference in meeting those cash flow goals from day one.
Attractions and Amenities
Preston has really come into its own in recent years, and I’d be lying if I didn’t say it’s one of my favourite parts of the North West. The city centre is packed with shopping, dining, and entertainment options, while beautiful spots like Avenham Park give residents green space right at their doorstep. Whenever I scout properties, I make a point to consider proximity to these types of amenities because they’re a huge selling point for tenants.
Then there’s the Guild Wheel cycling route, which is popular with people who like to stay active. People who are willing to pay a little more for a better quality of life are drawn to places like this. These kinds of amenities aren’t just nice to have; they’re reasons why people choose one place over another. This makes it easy to keep occupancy rates high and rents low.
Great Transport links
Preston has great travel options, that’s for sure. It’s easy for workers to get to and from work at Preston Railway Station, which has direct trains to Manchester, Liverpool, and London. From what we’ve seen, this connectivity really drives demand, especially among tenants who want the flexibility to work or study in nearby cities without needing to live there.
Properties near main transport routes like the M6 motorway or within easy reach of buses always seem to attract tenants quickly. For young professionals, convenience and quick commutes are huge factors, and they’re often willing to pay a premium for that access. If you’re looking at buy-to-let properties in Preston, being close to public transport can be a strong selling point.
Major Regeneration Projects in Progress
Preston’s regeneration projects are driving serious growth, backed by a massive £434 million City Deal involving Preston City Council, Lancashire County Council, and the UK government. Key developments include the £200 million Preston Western Distributor Road, which improves access to the M55 and increases buy-to-property attractiveness in North West Preston, making it more appealing to tenants and commuters.
Preston Markets Quarter in the centre has undergone £50 million in improvements, making it a vibrant shopping and dining destination. Furthermore, the Harris Quarter Towns Fund, which received £20.9 million in government financing, is revitalising cultural institutions such as Winckley Square Gardens and the Harris Museum.
It’s a good time to invest in Preston’s buy-to-let market because these projects are expected to increase the prices of buy-to-let property and the desire for rental homes.
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Type of Properties in Preston
In Preston, you’ll find a diverse range of property types, each catering to different tenant demographics and property investment strategies. Here is a list of some important types of property:
Detached Housing
Families in Preston who want room, privacy, and a little space from their neighbours should look at detached homes. More often than not, you’ll find these in suburban areas with bigger lots, like Fulwood and North Preston. Sure, they’re pricier—averaging around £308,000—but in my experience, you’re getting long-term tenants who appreciate quiet and outdoor space.
Semi-Detached Housing
Semi-detached homes are what I’d call the “sweet spot” in Preston’s market. They strike a balance between space and affordability, making them popular with a wide range of tenants, from professionals to small families.
Places like Ashton-on-Ribble and Bamber Bridge have a good stock of these, with average house prices around £191,000. What I like about semi-detached homes is they usually have lower maintenance costs than detached properties but still offer a comfortable living space. For landlords, they’re a solid choice if you’re aiming for lower upfront costs but still want decent rental demand.
Terraced Housing
There are a lot of affordable housing choices in Preston, especially in areas like Ribbleton and closer to the city centre. The average property price of these homes is £135,000. This makes them great for new investors or those who want to grow their business without spending a lot of money. From what I’ve seen, these homes are popular with students and young workers who want to save money. If you want to make steady returns on your money without having to put up a lot of money at first, you should look into Preston terraced houses.
Flats
Flats, especially those in PR1 near Preston city centre, are a versatile option. They attract students, young professionals, and sometimes even short-term tenants, given the convenience of the location. With an average price of £93,000, they’re a relatively low-cost entry point with decent returns.
Flats often have shared amenities that tenants may like, especially if they don’t want to take care of a big area. Flats in the centre of Preston are a good investment if you want to rent them out for short periods of time or to students.
If you’re looking to invest in student properties or short-term lets, there’s one property we’d strongly recommend considering:
Preston's Guildhall Gardens
Located in the historic Winckley Square Conservation area, Guildhall Gardens stands out as one of the most attractive buy-to-let properties in Preston city centre.
This development offers a perfect mix of traditional charm and modern amenities, appealing to renters who appreciate Lancashire’s vibrant culture. With Preston’s ongoing revitalisation and the local economic growth, Guildhall Gardens is an ideal choice for buy-to-let investors looking to attract professionals and couples.
Key Property Highlights
£766 pcm
20%
Q3 2023
£2,500
- Located in the heart of Winckley Square, one of Preston’s most prestigious areas.
- Comprising 32 one-bedroom and 3 two-bedroom apartments with stylish, modern interiors.
- Walking distance to UCLan, Market Hall, and Fishergate Shopping Centre.
- Perfectly located just 0.5 miles from Preston Train Station, 0.2 miles from Miller Arcade, and 1 mile from Avenham Park.
- Addresses the increasing demand for high-quality rental properties in Preston’s buy-to-let market.
Top Buy-to-Let Investment Areas in Preston, UK
Preston’s property market presents several promising areas for buy-to-let property investments. Below we’ve given a breakdown of the top five areas, including average house prices and rental yields:
Fulwood
Fulwood is one of Preston’s most desirable residential neighbourhoods, particularly among families and professionals. Fulwood houses are in high demand due to their outstanding schools and close proximity to Royal Preston Hospital. Fulwood’s average property price is roughly £205,247, with rental returns of around 5.1%. Although property prices are higher than average, rental yields are nonetheless competitive due to consistent demand. Fulwood is an excellent choice for investors seeking consistent earnings and long-term tenants.
- Just 2.5 miles from Guildhall Gardens
Preston City Centre (PR1)
Preston’s PR1 city centre is lively and always full of people. Lots of shops and UCLan make it a great place for students, adults who work, and even people who just want to travel. The typical home here costs £163,478 and earns 5.92% on average. If you’re after high rental demand and good cash flow, PR1 is a lively area that keeps rental income steady, making it ideal for investors focusing on both yield and capital growth.
- Just 0.3 miles from Guildhall Gardens
Ashton-on-Ribble
Ashton-on-Ribble is a fantastic blend of suburban comfort and city access. You can find a unique mix of affordable semi-detached and terraced houses here. Professionals, students, and families all find great appeal in these. Here, average housing prices are at £148,365 and rental returns run around 6.05%. Particularly for renters who appreciate outdoor pursuits, its close proximity to the River Ribble and Guild Wheel cycle path adds even more appeal. For investors, it’s a spot where affordable buy-to-let properties meet solid rental yields.
- Just 2.1 miles from Guildhall Gardens
Ribbleton
Ribbleton is one of the more budget-friendly areas in Preston, offering attractive rental yields because of the high demand for affordable housing. The average house price is £143,047, with yields around 6.36%. This area attracts a diverse mix of tenants, from students to families, who want to be close to the city without paying city-centre prices. Ribbleton’s affordability and steady demand make it a great choice if you’re looking to start or expand your portfolio without a hefty investment.
- Just 2.7 miles from Guildhall Gardens
Bamber Bridge (PR5)
Just a bit outside Preston, Bamber Bridge has a more suburban feel with great transport links, which makes it ideal for commuters. You’ll find a mix of semi-detached and detached homes here, with average house prices around £187,245 and rental returns of about 4.4%. The yields are stable, and with ongoing developments in the area, Bamber Bridge offers reliable tenant demand and the potential for long-term appreciation. It’s a good option for investors seeking a quiet area outside the city but still close enough for easy access.
- Just 4.3 miles from Guildhall Gardens
Which Buy-to-Let Properties Would be Best for Your Investment?
Here are some expert-recommended buy-to-let properties that promise strong rental yields, high tenant demand, and excellent growth potential for investors eyeing the buy-to-let market in Preston and the surrounding areas:
Angel Gardens
Angel Gardens is a top choice for buy-to-let investors interested in eco-friendly developments. Located in a regenerating area of Liverpool, just 30 minutes from Preston, this property is tailored for young professionals and students who prioritise green living. Aiming for high demand and competitive returns, Angel Gardens is perfect if you’re looking for a buy-to-let property in Preston thanks to several eco-friendly elements and larger-than-average flats.
Key Property Highlights
10% NET
£1,540 pcm
Q4 2026
£5,000
- Eco-friendly design, including green roofs and energy-efficient systems.
- Spacious one- and two-bedroom units, each featuring private balconies.
- Offers up to 10% NET returns, with initial deposits starting at £20,000.
- Close to Liverpool Waters, Knowledge Quarter, and Project Jennifer regeneration area.
- Just 0.7 miles from Liverpool Lime Street Station and 0.5 miles from John Moores University.
Berkeley Square
Berkeley Square, just 35 miles from the Preston centre, is a highly sought-after property meant to house professionals, students, and families among other types of tenants. For buy-to-let investors searching for properties in thriving metropolitan areas, this development is perfect. For those concentrating on short-term rentals or a busy tenant market, the modern flats and outstanding location present an excellent prospect.
Key Property Highlights
£1,065 pcm
25%
Q2 - Q4 2026
£5,000
- High-quality finishes and spacious layouts with a communal lounge area.
- Positioned near business and cultural centres, close to Deansgate and Manchester Piccadilly.
- Manchester’s growing job market ensures steady housing demand.
- Only 1 mile from Deansgate, 0.8 miles from Manchester Art Gallery, and 0.5 miles from Spinningfields business district.
Sovereign Point
Sovereign Point is a luxury waterfront development around 30 minutes from Preston, making it ideal for buy-to-let Preston investors targeting professionals and sports enthusiasts. The property features 155 high-end apartments with views of the River Mersey, set in a lively location close to Liverpool’s cultural hotspots. It’s a top pick for investors looking for properties with a high appeal and a unique lifestyle offering.
Key Property Highlights
£839 pcm
10%
Q3 2025
£5,000
- Property with magnificent river Mersey views and well-crafted grounds.
- Quality finishes in two-bedroom, one-bedroom, and studio units.
- Drawing professionals as well as sports fans near Albert Docks and the future Everton Stadium
- Just 1.2 miles from Albert Dock, 0.8 miles from Tate Liverpool, and Everton Stadium.
Dockside Residences
Dockside Residences brings together eco-friendly design and modern style, right on Liverpool’s scenic harbour and only 38 miles from Preston. With its green credentials and proximity to cultural attractions, this development appeals to environmentally conscious tenants. This development comes with both short- and long-term rental potential.
£1,250 pcm
10 Years
250 Years
£5,000
Key Property Highlights
- All-electric design with BREEAM certification and energy-efficient lighting.
- Located close to the Mersey River, offering beautiful dockland views.
- 48 two-bedroom apartments with sustainable features like high-performance insulation.
- Just 0.5 miles from Royal Albert Dock, 0.7 miles from the Museum of Liverpool, and 0.9 miles from the Echo Arena.
Paragon House
Located in Trafford on Seymour Grove, Paragon House is a premium development about 30 minutes from Preston, ideal for investors seeking high-end buy-to-let properties. Paragon House appeals to renters who value a private, elegant living space since it provides security and convenience with a gated neighbourhood and digital concierge.
Key Property Highlights
£1,183 pcm
10%
£1,000
- Digital concierge, gated access, landscaped gardens, and social lounges.
- Walking distance to Old Trafford and Trafford Bar tram stop for city access.
- Near Trafford’s master plan area, which is set to drive long-term growth.
- Located just 0.5 miles from Old Trafford, 0.3 miles from Trafford Bar tram stop, and 1.5 miles from Salford Quays.
Trafford Gardens
Situated about 35 miles from Preston, Trafford Gardens is a modern development catering to young professionals in Manchester’s Civic Quarter. This project with more than 116 flats with their own balconies offers premium urban living near commercial and cultural hotspots. For buy-to-let Preston investors aiming at city-centre professionals, this is a great choice.
Key Property Highlights
£1,300 pcm
250 Years
Q3 2025
£2,000
- One-, two-, and three-bedroom apartments with premium amenities.
- Located in a high-growth area, enhancing long-term property investment value.
- Only 300 metres from the Trafford Bar tram stop, connecting directly to the city’s centre.
- Just 0.2 miles from Trafford Bar tram stop, 1 mile from Old Trafford, and 0.7 miles from MediaCityUK.
These are some of the most sought-after buy-to-lease homes in Preston and the surrounding districts, offering a great spectrum of choices for investors. Every property has been meticulously crafted to satisfy a wide spectrum of tenant tastes, from urban professionals to environmentally-minded people.
Whether your interests are in long-term development possibilities or short-term rentals, investing in these ventures will give chances to profit from growing property values across the buy-to-let market and outstanding rental demand.
Conclusion
Preston is located within Central Lancashire, a region known for its economic stability and ongoing development, adding to the attractiveness of the buy-to-let market here. Investors should also consider Preston’s favourable tax climate. It includes competitive income tax rates, which can further enhance net returns on buy-to-let investments.
Ultimately, for astute investors Preston and its environs present a striking array of buy-to-let investment options. From vibrant city-centre apartments in Preston’s Guildhall Gardens to eco-friendly, high-yield developments like Angel Gardens and Dockside Residences in Liverpool, each property type caters to unique tenant demands.
These expertly planned projects are tailored for today’s rental market, appealing to a diverse audience of students, professionals, and environmentally conscious renters.
Area Guide
Ricky Ellson
Firstly and foremost, I have been a dedicated senior advisor for many years (not to give away my age!
My strong work ethic has provided a solid track record of successfully building portfolios for many clients.
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