Deal Sourcing UK Property Software

Best Buy-to-let areas in Cardiff

Cardiff or Caerdydd in Welsh is Wales’ largest city and capital. As of 2020, its population is of 478,000, whereas its metropolitan population is of around 1.2 million, making it the UK’s 11th biggest city. There have been estimates that Cardiff’s population will grow by 20% by 2035, as people form all across the country choose to settle there. Cardiff is a great place for property investors as not only is it a capital city meaning that property demand is high, but it is also one of the cheapest and most affordable capitals in the UK. This article will outline why you should invest in Cardiff in 2021.

Being a capital, Cardiff has a lot to offer in terms of amenities and culture. The city has a great shopping district on Queen Street and in its Victoria arcades, featuring many bars and eateries. Cardiff has a lot of historical sights, attracting thousands of tourists, including the Cardiff Castle, the St. Fagan’s National Museum of History and the National Museum of Cardiff.

As for sports, the Principality Stadium (previously known as the Millenium Stadium) hosts many big concerts and is home to the Wales national rugby union team and the Wales national football team.

We recommend looking out for the South Wales Metro, a Network Rail project to improve commuting in south-eastern Wales and aiming to boost the area’s economy. As of this year, construction has started on a £30m railway station in the outskirts of Cardiff. The new station, St Mellons is going to serve 32,000 residents and create links between Swansea, Cardiff, London, Bristol, Birmingham and the South Wales Metro. This makes St Mellons a great property development spot that everyone should keep an eye on!

What’s more is that Cardiff’s economy is far stronger than any other city in Wales and is constantly growing, sometimes faster than the other capitals, including London! It features many industries, including but not limited to: health, public administration, health, financial services, tourism and media. The Cardiff Bay waterfront is also said to be one of Europe’s largest waterfront development projects, featuring culture, housing and leisure. Central Square, Cardiff’s most central district, has been undergoing massive changes in the past few years and is still in a process of modernisation and rejuvenation.

brown concrete building with signage

Cardiff is also Wales’ biggest student city and also features Wales’ largest student accommodation. Cardiff University is home to around 35,000 students whereas the University of South Wales has 25,000 students which primarily reside in Cardiff. Finally, Cardiff Metropolitan University has around 12,000 students, totalling to around 72,000 students! This makes it a great place for HMO landlords. Be aware however that if you want to set up an HMO, be aware that you need to authorise it with the Cardiff Council as you need planning permission! We recommend investing in property which is close to each of these universities, mainly in Cathays and Roath, Splott, Adamsdown & Heath and Plasnewydd. One last thing, if you want to set up an HMO, be aware that you need to authorise it with the Cardiff Council as you need planning permission

According to Hometrack, Cardiff property is relatively expensive by Welsh standards. However, property value in Cardiff still remains far cheaper when compared to other major cities across the UK. To put things into perspective, one can buy a property in Cardiff for half the price than the same property in London! Prices start at around £60,000 which is a bargain. Without doubt, long term investments in Cardiff are worthwhile as property prices have risen over 240% in the last 20 years. High demand is expected to increase with suburban areas’ value also expected to grow.  

Last but not least, rental demand in Cardiff is top-notch and high yield is synonymous with Cardiff’s rental market. According to Totally Money, Cardiff city centre (including the CF10 postcode) is in the top 20 best rental yield areas in the UK with an average of 6.88%! CF11 is at 5.55%, CF37 at 5.02% and CF31 at 4.54%. If you are planning to invest in BTL properties in Wales, be aware however that landlords need to apply and take a training course in person or online before being able to buy property. As long as you’re aware of the Rent Smart Wales scheme, you should be fine! We suggest finding the best rental yield properties in Cardiff with the help of property deal sourcing software. Forget about the time-consuming process of manually searching for profitable deals, check out!

Brought to you by puts the power of automation in your hands. Search over 200,000+ Below Market Value deals (Buy-To-Let, HMOs and BRRR) with ROIs above 15% with the click of a button. Find High Yield properties with our efficient and easy-to-use tools.

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