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Overview of Preston’s Student Accommodation Market
If you’re even thinking about investing in student accommodation, I’d say Preston is a goldmine waiting to be tapped. I’ve watched this city evolve, and with the student population growing every year, the demand for affordable, quality housing is shooting up too.
The University of Central Lancashire (UCLan) welcomes over 25,000 students each year. That means there are a lot of students seeking places to stay, and they’re coming from all over—both in the UK and beyond.
What distinguishes Preston is that it is a genuinely inexpensive city. This isn’t London or Manchester with sky-high rents, but students here are still looking for quality. You’ll find students looking for everything from simply shared houses to modern purpose-built student accommodation (PBSA) with en-suite rooms, high-speed Wi-Fi, and common rooms to socialise.
Preston is the best place for new students to begin their university life, offering a vibrant student experience with a diverse mix of student rooms, from private halls to university halls. Whether you’re seeking self-contained student flats for more privacy or shared bathroom facilities with a common room to make new friends, there’s something for everyone.
And for you as an investor, it means higher occupancy rates and reliable returns, especially for properties close to campus or city hotspots like the Preston Railway Station or the Harris Museum.
Rental yields in Preston often beat the national average, which is a big draw for anyone building a portfolio. Not only can you expect solid returns, but there’s also the potential for capital appreciation down the line.
And with a city that’s constantly upgrading its facilities and cultural spots, students aren’t just getting a place to sleep; they’re getting a lifestyle that appeals to them.
Top Preston Student Accommodation for Investment
There are some excellent choices for top student accommodation in Preston or short-term rentals around. From new environmentally friendly homes a short drive away to classic apartments in the heart of Preston, every property here offers special qualities that would appeal to professionals, students, and short-stay guests equally.
Student halls here provide easy access to cultural experiences like the Ribble Steam Railway and Brockholes Nature Reserve, while the friendly team and accommodation team ensure every tenancy agreement runs smoothly.
Here are a few properties that combine prime locations with features to attract tenants
Preston's Guildhall Gardens
Guildhall Gardens is an ideal choice for investors interested in serviced flats in one of Preston’s most iconic areas: the Winckley Square Conservation District. Combining classic charm with contemporary conveniences, this accommodation in Preston, UK, attracts short-term tenants, business visitors, and tourists exploring Lancashire’s vibrant culture.
Key Property Highlights
£766 pcm
20%
Q3 2023
£2,500
- Right in Winckley Square, a top location in Preston that’s popular with locals, students, and tourists.
- Composed of 32 one-bedroom and 3 two-bedroom apartments, all with stylish interiors.
- Popular sites for both residents and visitors, walking distance to UCLan, Market Hall, and Fishergate Shopping Centre.
- Located conveniently for travellers 0.5 miles from Preston Train Station.
- Growing demand for luxury serviced residences brought on by Preston’s economic development and revitalisation.
Angel Gardens
Only a 30-minute drive from Preston, Angel Gardens is in Liverpool and perfect for anyone looking to invest in green, sustainable housing. This property is popular with students and young professionals who are environmentally conscious, plus it’s close to Liverpool’s most-visited spots, adding to its appeal for short stays.
Key Property Highlights
10% NET
£1,540 pcm
Q4 2026
£5,000
- Environmentally friendly architecture with green rooftops and energy-efficient technologies.
- Each with its own balconies, and spacious one- and two-bedroom flats.
- Close proximity to Liverpool Waters, Knowledge Quarter, and Project Jennifer sites—high-traffic locations perfect for short-term visits.
- Only 0.7 miles from Liverpool Lime Street Station, making transport easy for tenants needing to travel.
Berkeley Square
Berkeley Square is about 35 miles from the centre of Preston. It is built to meet the needs of a busy metropolitan area. Its closeness to major business and cultural hubs makes it perfect for serviced apartment investors who want to rent out apartments for short periods of time.
Key Property Highlights
£1,065 pcm
25%
Q2 - Q4 2026
£5,000
- High-end finishes, spacious layouts, and social areas for networking or relaxing.
- Near business hubs like Deansgate and Piccadilly, which adds appeal for corporate travellers.
- Within reach of Manchester Art Gallery, Deansgate, and Spinningfields.
Sovereign Point
For those looking to invest in high-end short-term rentals, Sovereign Point in Liverpool offers scenic waterfront views and premium amenities. Just 30 minutes from Preston, it’s a fantastic choice for sports fans and professionals who want luxury accommodation for a shorter stay.
Key Property Highlights
£839 pcm
10%
Q3 2025
£5,000
- Gorgeous views of the River Mersey with beautifully landscaped grounds.
- Offers one- and two-bedroom apartments and studios with high-quality finishes.
- Close to cultural hotspots like Albert Docks, Tate Liverpool, and the soon-to-be Everton Stadium, drawing in a wide range of guests.
Dockside Residences
For a blend of sustainability and style, Dockside Residences in Liverpool’s harbour district offers eco-friendly accommodation options just 38 miles from Preston. With its all-electric design and emphasis on energy efficiency, this private accommodation appeals to tenants who value green living while staying close to popular cultural sites.
£1,250 pcm
10 Years
250 Years
£5,000
Key Property Highlights
- All-electric, eco-friendly design with top-grade insulation and energy-saving features.
- Beautiful views of the Mersey River, with easy access to dockland attractions.
- Features about 48 two-bedroom residences, all built with sustainable energy sources.
- Approved for short-term rentals, it is therefore a perfect choice for visitors and business guests.
- Walking distance from well-known sites includes Liverpool One shopping centre, Tate Gallery, and Royal Albert Dock.
Paragon House
Just about a 30-minute drive from Preston in Trafford, Paragon House is well-suited for business clients or short-term visitors looking for security, comfort, and modern amenities. This is a premium private student accommodation that offers a unique combination of privacy and convenience.
Key Property Highlights
£1,183 pcm
10%
£1,000
- Features include a gated community entry, a computerised concierge, landscaped gardens, and social lounges.
- Close to Old Trafford and Trafford Bar tram stop, thereby facilitating city discovery for guests.
- Close to the master plan region of Trafford, projected to stimulate development and increase visitor count.
- Great for sports enthusiasts, as it’s near spots like Old Trafford and Salford Quays, appealing to visitors and professionals alike.
Each of these properties offers a unique mix of location, amenities, and style, whether you’re aiming to attract students, professionals, or short-stay guests. If you’re considering an investment near Preston, these student houses provide a range of choices that align well with different tenant needs and interests, giving you a strong foundation to make the most of the rental market.
Why Choose Student Accommodation in Preston for Investment?
Preston is a fantastic place to invest in student accommodation. With accommodation in Preston offering options just a short stroll from campus, now is the best time to secure the perfect place for your first year in this vibrant city. There are a few main reasons this is so:
Growing Student Population
With more than 25,000 students at UCLan, there’s a strong, steady demand for housing in Preston. And it’s not just local students; UCLan has a huge appeal internationally, which adds a layer of diversity to the housing market.
As someone who’s worked in property for years, I know just how important that variety is—international students have different preferences and often need fully furnished, high-quality spaces that are close to campus.
The closer your property is to the campus or the city centre, the quicker it fills up, especially with so many students preferring the convenience of walking to lectures or city events. From my experience, if you can secure a spot near UCLan or popular spots like Miller Parks, you’re setting yourself up for consistent demand and occupancy.
Affordability and Demand
The affordability factor in Preston makes it a standout for student housing investment. Right now, the average property price in Preston is around £168,050—much lower than you’d find in major UK cities.
Source: Office For National Statistics
For investors like you, that’s a major win. Lower entry costs mean you can get into the market without needing a huge initial capital, but the rental yields remain attractive. In fact, the average rent for a three-bedroom home here sits around £846 per month, which provides a solid return on investment.
From what I’ve seen, affordability is crucial for students, too. Many students and their families are looking for value, especially in today’s economy, so reasonably priced, quality student accommodation in Preston is in constant demand.
We’ve found that investing in well-maintained, cheap accommodation in Preston is one of the best ways to guarantee a steady rental income.
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Types of Student Accommodation Options in Preston
Preston’s student housing market is somewhat versatile with several choices, thereby meeting a broad spectrum of student requirements and finances. The main two kinds of student accommodation in Preston are these:
Purpose-Built Student Accommodation (PBSA)
Particularly among students from overseas or those seeking more modern conveniences, PBSAs are becoming ever more popular. These are structures designed especially for students, so they have many elements suited to their way of life. Particularly appealing are facilities such as en-suite baths, fast Wi-Fi, and study lounges.
Plus, these buildings are usually near the university and the city centre, which makes life easier for students. The average cost for PBSA in the UK is around £7,632 per year, which, for most students, is within budget, especially considering that these student accommodations in Preston often come with bills included.
For investors, PBSAs are relatively low-maintenance options. With on-site management teams, these buildings require less hands-on attention and tenancy agreements typically run for the academic year, so occupancy is stable.
Private Student Rentals
On the flip side, there’s a lot of demand for private student accommodation. Many students, especially after their first year, want a bit more independence and tend to prefer private rentals. We’ve had students tell us they love the freedom and home-like feel of renting a house or flat with friends.
Private rentals offer this, and they’re often a bit cheaper than PBSA, with the average rent for a three-bedroom house in Preston sitting around £1,149 per month. From an investor’s perspective, private rentals give flexibility—you can go for a simple house share or cater to higher-end needs with fully furnished student flats.
| No. of properties | Average Rent | Median Rent | |
|---|---|---|---|
| One Bedroom | 87 | £682 pcm | £685 pcm |
| Two Bedrooms | 103 | £926 pcm | £884 pcm |
| Three Bedrooms | 89 | £1,149 pcm | £1,150 pcm |
| Four Bedrooms | 66 | £1,416 pcm | £1,577 pcm |
| Five Bedrooms | 28 | £1,613 pcm | £1,550 pcm |
Source: Preston Market Rent
One big perk of private rentals is flexibility. Students like having the option to customise their space a bit, and house shares create a communal vibe that’s appealing for many. For investors, private Preston student accommodation provides flexibility, too.
They can range from simple shared houses to more high-end private flats, depending on what the local market demands. By keeping the property well-maintained and making updates, like adding modern furniture or upgrading Wi-Fi, it’s not hard to keep these places fully booked.
Cost of Living in Preston, UK
Preston is one of the most affordable cities for students in the UK, so students can enjoy life here without constantly stressing about money. Below is a rough guide to what students typically spend each month in Preston. Just keep in mind that these numbers don’t include tuition fees, and the actual expenses will depend on the individual’s lifestyle choices.
Enjoy meeting new people, exploring the great outdoors, and embracing student life in the best student accommodation—all while having the support of a dedicated site team to help you manage everything, including how to pay rent.
Preston has loads to offer, from restaurants and cafes to clubs and outdoor activities, so there’s no shortage of things to do! That said, how much you spend can vary. For example, cooking meals at home will be far cheaper than eating out every night. By being mindful of where you spend, you can still enjoy your time here without going over budget.
Here’s a breakdown of what you might expect to pay monthly:
- Rent: £300 – £692 per month
- Food and Groceries: £100 – £160 per month
- Gas and Electricity: £120 – £180 per month
- Internet & Mobile Phone: £50 – £100 per month
- Laundry: £20 – £40 per month
- Stationery and Textbooks: £20 – £30 per month
- Transport (Buses, Trams, Trains): £30 – £60 per month
With some thoughtful budgeting and smart spending, students can make the most of Preston’s lifestyle without overspending.
Financial Benefits of Investing in Preston's Student Accommodation
Investing in student housing in Preston brings some clear financial upsides, especially given the cheap accommodations in Preston and the strong rental market, thanks to UCLan’s steady student base.
Here’s a closer look at why the Preston student accommodation market is worth considering for property investment.
High Rental Yields
One big attraction of student properties in Preston is the high rental yield. Compared to the UK’s national average yield for residential properties, which sits around 5-6%, properties in Preston tend to generate a solid 7-9%. These higher yields mean you’re able to cover costs faster, while still having income left over.
I’ve noticed that student accommodation in Preston in student-friendly areas near UCLan fills up quickly and can even command higher rents, making them especially profitable. It all boils down to choosing a place that fits student life—close to schools, cafes, and public transportation—because it significantly affects the constant income.
Potential for Capital Appreciation for Investors
Apart from the rental revenue, Preston’s potential for capital appreciation appeals to me. Over time, property values here have shown a steady upward trend, especially as UCLan grows and more students move in each year.
If you’re thinking long-term, this value increase can be a real boost to your investment. I’ve seen properties purchased five or ten years ago that have appreciated nicely. Therefore, even if the monthly rental income keeps money coming, there is a plus in seeing the value of your home grow over time that helps you create equity and prepares you for future profits.
Steady Income Flow
One advantage of student accommodation in Preston is that income-wise it is somewhat consistent. Students signing contracts for the school year means a consistent flow of rent with few tenant gaps. Many times, students pay by term—that is, even ahead—which simplifies rent collecting.
From what I know, students who are content with their accommodation often renew for several years, which maintains revenue consistency. If steady cash flow is your goal, student rentals in Preston are a good choice for that kind of security.
Universities in Preston
Preston is a student town with excellent universities, attracting students from all over the UK and the world. With the University of Central Lancashire (UCLan) and Preston College, the city has plenty of academic options for students, creating a busy student housing market.
University of Central Lancashire (UCLan)
University of Central Lancashire (UCLan) The University of Central Lancashire, or UCLan as it’s commonly known, is Preston’s main university and a big draw for local and international students.
With over 25,000 students, including a large international student body, UCLan has a good reputation for quality and diversity, with students from almost every country in the world. It offers a wide range of courses, and fees for international undergraduates are £12,500 to £16,500 per year. Postgraduate fees are £13,500 to £16,500 depending on the course.
Students like UCLan not only for its academic reputation but also for its city centre location, which is near most student accommodation in Preston. With campus modern facilities, libraries and student life right in the heart of the city, students are never far from what they need.
For property investors, this is a great opportunity, as properties near the UCLan campus are always in demand, especially with international students looking for housing near their university.
Preston College
Preston College is another major institution in the city, specialising in practical and vocational education. Smaller than UCLan, Preston College attracts students looking for specific certifications, apprenticeships and vocational training for various career paths.
Foreign students at Preston College pay between £9,500 and £11,500 for undergraduate courses, and £10,500 to £13,500 for postgraduate courses depending on the course.
Students at Preston College often look for affordable accommodation and one that’s close to campus, either by public transport or bike. Many of the college’s courses are flexible, so students can work part-time, which means affordability in student housing is top priority.
This makes budget-friendly Preston student accommodation with public transport links or bike-friendly routes perfect for those looking to attract Preston College students.
Transportation in Preston
Preston is easy to get around, with its compact size and good transport links. Students in all types of student accommodation – shared flat, en suite or studio – find that Preston’s transport network makes commuting a doddle.
Public Transport
Preston’s public transport is well-developed and student-friendly. The main operators, Stagecoach and Preston Bus, cover the city and surrounding areas, so students can get from their accommodation to the University of Central Lancashire, Preston College or anywhere else they need to go. A single bus ticket is £1.50 to £2.00 and a monthly bus pass is £60 to £80, which is a bargain for students who need to commute regularly.
For students further afield, Preston City Centre’s railway station connects to major UK cities including Manchester, Liverpool and London. With Northern Rail and Virgin Trains, students can get home for the holidays or plan weekend breaks with minimal hassle. The public transport network in Preston is a big plus, especially for international students who don’t have a car and rely on buses and trains.
Cycling
Particularly for students, riding is a common and reasonably priced way to get around in the city. The city is bike-friendly with specially marked bike lanes and cycle pathways so students may safely get from their residence to the university.
UCLan even offers bike rental and storage so students may ride more and cut travel expenses. Many students choose cycling as it’s not only affordable but also quick to reach class or another area of the city without depending on public transport.
Walking
One of the best things about living in Preston is that it’s a small city, so walking is an option for students. Most student accommodation Preston options, whether in the city centre or near UCLan, are a short walk to key amenities like shops, cafes, libraries and of course the campus itself. This is a big bonus for students and makes Preston a student city.
For students, walking saves on transport costs and gives them the freedom to get around the city at their own pace. For investors, student houses near the university are top choices because students love the flexibility and cost savings of being able to walk from their accommodation.
Financing Options and Incentives for Student Property in Preston
When investing in student property in Preston, finding the right financing and incentives can make all the difference. With Preston’s property prices being relatively low and high demand from students, getting the right finance is key to maximising your returns.
Buy-to-Let Mortgages for Student Properties
For most people investing in student accommodation, buy-to-let mortgages are the way to go. These mortgages are for property owners who are planning to rent out their apartments and earn rental income. Many lenders are happy to offer buy-to-let mortgages for student housing as the demand is steady and the rental income is reliable from the student market.
One thing we’ve noticed is that buy-to-let mortgages require a bigger deposit – around 20-30% of the property’s value – compared to standard residential loans. But in a city like Preston where the average property price is £168,050, that’s still achievable for many investors. The rental income and potential for capital growth make it worth it as you can cover costs quicker and still see some income.
If your property is an HMO (House in Multiple Occupation) just remember that some lenders have HMO mortgage products so you’ll need to check with them about different terms or requirements. I’ve found that lenders are increasingly recognising the stability of student rentals and are offering competitive rates for student accommodation in Preston, especially in high-demand areas like Preston.
Government and University Initiatives
Apart from buy-to-let mortgages in Preston, several government and university projects enable investors to maximise their student property investments in Preston.
The government provides many tax relief programs, for instance, which can help to lower rental property ownership expenses. One of these is Mortgage Interest Tax Relief, which lets landlords offset some of the interest on their buy-to-lease mortgages, lowering the tax on our rental income.
For those of real estate investors looking to invest in energy-efficient properties, there are tax allowances and incentives available which can help them save a bit on costs especially if they’re refurbishing older properties. Students are becoming more eco-conscious and having an energy-efficient property is a big plus when it comes to attracting tenants.
UCLan (University of Central Lancashire) are also encouraging local investment in student housing with student numbers growing every year. They offer resources and support for property owners who want to ensure our properties meet student needs and university standards. UCLan don’t offer direct financial incentives but their guidance is invaluable in helping investors stay compliant and make their properties student friendly which means fewer voids.
Property Management Services
Managing a student rental property often means more upkeep than a regular rental, as students can be a bit tougher on properties. Flooring, appliances, and plumbing might need extra attention over time. That said, the good news is that you don’t have to handle this all yourself.
Partnering with a reputable property management company—like Flambard Williams—can take a lot of the hassle off your shoulders. We take care of everything from tenant questions to maintenance visits, so you won’t have to worry about anything. We guarantee that your property remains in good shape so as to satisfy renters and save you time and work.
Conclusion
In summary, Preston is a good one for student accommodation investment. With UCLan’s large student body and the city’s low cost of living there’s always demand for good quality housing and growth is solid.
Whether you’re looking at purpose-built student accommodation or private rentals Preston has options for all investment goals. If you choose the right location, keep an eye on what students really need, and approach it with some smart planning, there’s a lot of potential to build a profitable property portfolio here.
And if you’d like some guidance to get started or want a hands-off approach to managing the property, we at Flambard Williams are here to make it easy. From finding the right property to handling the details, we’re ready to help you make the most of Preston’s exciting student accommodation market.
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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