It is an odd time for those who are in the buy-to-let game. George Osbourne’s so-called “tax time bomb”, set years ago by the then-chancellor is set to hit landlords with regulations and taxes remove a great degree of profitability from the market. This has led to many headlines across the press claiming that the uptake of regulation is the death knell of the buy-to-let market for many keen investors.
It’s not all doom and gloom, however. The property market in many parts of the UK looks set to be sunny in outlook, with great opportunities for property investors to turn over money in places that are on the way up. One place that’s identified as fertile ground is my hometown of Glasgow. With buy-to-let yields hitting 7.8% on average, it’s certainly an area to think about.
A lot of regeneration has made Scotland’s largest cities one of the most desirable places to live in the UK, and today we will look at where is the best place to look for a profitable property.
The city’s Southside was once unfairly branded as inferior to the North as being a nice place to live. This is likely due to the proximity of the Govan shipyards and the concentration of heavy industry that once defined the character of the city. If you want an idea of how much has changed, then look no further than Shawlands.
Here, you’ll find that many of the grey stone townhouses have been transformed into highly desirable flats. Green spaces like Queen’s Park and Pollock Country Park allow residents to get out the mania of the city and enjoy open ground. When you add in good connections to the centre of Glasgow and a flourishing independent business scene, you can see why a property in Shawlands is a good place to start your search.
Lying just to the North of the Clyde, the area known as Finnieston lies just to the West of the main city centre and has frequently been voted as one of the trendiest postcodes of the UK to live in. This is thanks to a number of great bars and restaurants that can be found up and down Argyle Street and Sauchiehall Street.
Finnieston is also home to the SEC and Hydro venues, where some of the biggest music artists and events come to set up when something is happening in the city. All eyes will be on this part of Glasgow later this year when the international COP26 summit is held here. A lot of people want to move into this area, so interest is high, and landlords are set to make good money off of the property in the area.
The west end of Glasgow is at the top of the desirability list for a number of reasons. It’s proximity to the likes of the Botanic Gardens and the stunning
Kelvingrove Art Gallery. Young professionals and students can be found here as you are in the neighbourhood of Glasgow University. There is no shortage of great restaurants, galleries and the like here as well, which is what brings so many people into Hillhead.
Many of the properties around here sell on the upper end of the price scale, but the potential returns you can see on rent would make an investment in this part of Glasgow worthwhile. The large townhouses to the North of Byres Rd give you an insight into the middle-class people who call this area home. There is all manner of property opportunities here that are worth looking in to.
An area that has found a lot of buzz in recent years is the neighbourhood of Scotstoun. It is close enough to the city to be a part of the action but doesn’t have the feel of some of the more central areas of Glasgow. To the North are Anniesland and Bearsden, making it convenient for those who want to head out the city. It’s proximity to Great Western Rd means that residents can either head out towards Loch Lomond, or they can be right in the heart of the city in a few minutes.
There are good schools in Scotstoun, and the iconic Victoria Park gives the area an altogether more suburban feel than some of the other places we have mentioned in this article so far. Everything from small flats to well-sized residential homes frequently come up on the market here, so there is something to suit every budget and every type of landlord. Be sure to keep on the pulse, as the best places don’t stay on the market for too long!
Once you head out from the East of the city, you’ll be met with the kind of iconic streets that are conjured up in your head when you try to picture Glasgow in your head. The red sandstone tenements and grid-iron street patterns that makeup Denniston have given the city its character ever since they were built in the inter-war years. Thankfully, the slums have long gone and what we’re left with is a place that is in the transitional period that Finnieston found itself in some 15 years ago.
Property prices here are generally a lot lower than most of the other places we have spoken about today, but if you bide your time, you might end up with a place that could bring in a really good rate of rent for its landlord. A good number of Glasgweigan institutions can be found in the area that immediately surrounds this part of the city. With places like the world-famous Barrowlands Ballroom, the Tennent’s Wellpark Brewery, Glasgow Catherdral, the necropolis, and Celtic Park all within spitting distance, you can sell the very essence of Glasgow with a property in this area.
Another suburban area that has seen an upturn in interest over the last few years is the South Lanarkshire town of Rutherglen. It can be found to the South East of the city centre, and a few miles East of the aforementioned Shawlands area. The town is rich in history and is far enough out of the centre of Glasgow to avoid the feeling of being too busy.
A quick look online shows that everything from small studio flats to large townhouses are on the market here, suiting all range of budgets. We are likely to see smaller, outlying towns like Rutherglen become highly desirable in recent years. If you can get on the property market here, you’ll be set to see a great return on your investment in the long term.