Investors looking for the strongest rental yields should invest in Sunderland and/or Liverpool, which offer yields of 5.30% and 5.22% respectively.
Despite leading the way, their average rental yields have fallen since lockdown.
The research, from Rentround, also found that yields in Newcastle have risen to 4.47% – putting the city in the top 10 location for rental yields for the first time.
Stuart Williams, founder and chief executive of Thirlmere Deacon, said: “Newcastle is a popular city, well known for its energy, friendly atmosphere and nightlife.
“But it’s also a city that is likely to see steady improvements in local standards of living. Newcastle was recently listed in PWC’s Good Growth for Cities report as one of the UK’s top 5 most improved city regions. Economists are also predicting that, throughout the 2020s, 14,000 new jobs will be created in the city.
“It’s a great place to invest as demand for quality rental accommodaton is high amongst students and young professionals.”
