Thinking about investing in property in 2025? You should be — because the Northern market is heating up fast. The next few years will be crucial, and if you’re not paying attention, you’re going to miss out on some of the biggest growth we’ve seen in a while. Certain areas are transforming before our eyes, and those who move fast will reap the rewards.
So, is 2025 a good year to buy a house in the UK? If you’re serious about making money in property, the answer is a resounding ‘yes’ — but only if you act now.
In this guide, we’ll walk you through six of the most exciting places to invest in Northern England right now — breaking down exactly why they’re booming, what kind of returns you can expect, and the investment considerations to keep in mind. Let’s dive in.
Will property prices go up in 2025?
Property prices are likely to continue rising in 2025, but it depends on where you’re looking. If you’re looking for property opportunities that could deliver both long-term value and future growth, the North is where you need to be paying attention. Places like Manchester, Leeds, and Liverpool have been slowly climbing the property ladder, but there’s also a wave of up-and-coming areas that are set to take off.
Meanwhile, down in the South, property price growth will likely slow, given how high they’ve already risen. Prices are already so inflated in areas like London, that even if there’s some growth, it will likely be much more modest — closer to single digits over the next few years. This is why looking North is so compelling.
So, how much will property value increase in 5 years? While it’s tricky to predict with total certainty, properties in the North could see significant growth, potentially climbing by 5-10% or more, depending on the region. So, yes — property prices could go up in 2025, but the biggest increases are likely to come from under-the-radar markets in the North, where there’s still plenty of room for growth.
Which areas in the UK offer the best property growth?
The property market is heating up, and the North of England is leading the way. As experts in property investment, we’ve pinpointed the top six areas driving growth and offering incredible opportunities for savvy investors.
1. Trafford
- Average Property Price: £384,000
- Average Monthly Rent: £1,301
- Annual Rent Growth: 14.5%
- Average Rental Yield: 10.7%
Why Invest in Trafford?
Just west of Manchester city centre lies Trafford, a hotspot catching the keen eye of property investors. Boasting a mix of superior sports venues, bustling shopping centres, and incredible new developments, Trafford is quickly becoming one of the hottest spots for property growth in the North. Whether you’re looking for a solid rental investment or hoping to capitalise on the area’s potential for capital appreciation, Trafford is our pick to watch in Q1, 2025.
Rental Market Potential
Trafford attracts all sorts of tenants — from football fans visiting Old Trafford, Manchester United’s iconic stadium, to families looking for top-tier schools, to students from nearby universities. It’s also a popular spot for professionals flocking to work in the city. The rental market is robust, with demand continuing to rise. Prices are growing fast, and the yields are impressive. In fact, with annual rent growth of 14.5% and an average rental yield of 10.7%, it’s one of the best places to invest in the region.
Investment Considerations
Trafford is undergoing major regeneration, making it a key player in the North West’s property boom. One of the most ambitious projects is Trafford Waters, a £1.6 billion waterfront development set to reshape the borough with modern apartments sitting right on the water. This exciting project will also introduce a wide range of world-class facilities, from Planet Ice (a 3,000-seat ice arena) to AirKicks (an indoor skydiving centre offering thrilling experiences for adrenaline seekers). Moreover, Therme Spa Manchester, a £300 million spa and waterpark resort, will soon open in 2027, offering a huge range of health and wellness options.
Whether you’re looking for buy-to-let opportunities or capital appreciation, Trafford’s transformation into a world-class destination makes it a must-watch market for property investors.
2. Liverpool
- Average Property Price: £189,000
- Average Monthly Rent: £819
- Annual Rent Growth: 9.7%
- Average Rental Yield: 9%
Why Invest in Liverpool?
Liverpool’s got it all: energy, character, opportunity — and a booming property market. It’s one of the most exciting places to invest right now. You can get significantly more property for your money compared to other major UK cities. And with excellent rental yields, often above the national average, it’s easy to see why investors are flocking here.
Rental Market Potential
Liverpool has become a top destination for renters, with students, young professionals, and families all driving demand. The city is home to several universities, including the University of Liverpool and Liverpool John Moores University, meaning there’s a constant influx of students searching for quality rental accommodation. With over 70,000 students in the city and a growing population of young professionals, Liverpool offers landlords a healthy stream of tenants and minimal void periods.
Investment Considerations
If there’s one thing Liverpool does well, it’s regeneration. Liverpool Waters, a £5 billion waterfront regeneration project spanning 2.3km including the highly anticipated new Everton stadium, is one of the biggest regeneration projects in Europe. Investors are already snapping up off-plan developments in the area. Right now, entry prices are low, but as this area takes shape, demand — and property values — are expected to soar. Now is the time to invest.
While Liverpool itself offers fantastic investment opportunities, savvy buy-to-let investors should also keep an eye on hidden gems in the city’s surrounding areas. Locations like Preston, Wirral, Birkenhead, and Warrington are experiencing steady growth and could provide high returns as demand continues to rise.
3. Hull
- Average Property Price: £145,000
- Average Monthly Rent: £627
- Annual Rent Growth: 10.1%
- Average Rental Yield: 7.3%
Why Invest in Hull?
Hull might not be the first city that springs to mind for property investment, but it’s one to watch in Q1 of 2025. This port city, with its fascinating maritime history and cultural buzz since its time as the UK City of Culture, is quietly becoming a hotspot for savvy investors. What makes Hull so attractive right now is the opportunity to get in early. A whopping £96 million is being poured into regeneration projects, and as these projects take shape, property values are expected to rise significantly.
So, whether you’re looking at long-term buy-to-lets or tapping into the growing short-term rental market, Hull offers some interesting possibilities.
Rental Market Potential
Hull is increasingly recognised as an excellent place to live, attracting a diverse mix of residents. Young professionals are increasingly drawn to Hull’s expanding job market, particularly in the digital, maritime, and healthcare sectors. Tech companies and design agencies are choosing Hull as their base, attracted by the city’s growing talent pool and lower operating costs compared to other major cities. Hull’s maritime heritage is also experiencing a resurgence and creating high-skilled jobs in the offshore wind industry. The healthcare sector is also a major employer, with Hull University Teaching Hospitals NHS Trust providing a range of career opportunities.
Investment Considerations
One of Hull’s biggest advantages? Affordability. Property prices here are still among the lowest in the UK, making it an excellent option for first-time investors or those looking for better value for money. Compared to cities like Leeds or Manchester, Hull offers lower entry prices with the potential for higher rental yields, currently averaging around 7.2%. And with ongoing regeneration projects and growing interest in the area, there’s plenty of room for future capital appreciation — making now a great time to invest in Hull.
4. Salford
- Average Property Price: £249,000
- Average Monthly Rent: £1,088
- Annual Rent Growth: 9.9 %
- Average Rental Yield: 7.2%
Why Invest in Salford?
Salford, a stone’s throw from Manchester city centre, is another hidden gem in Greater Manchester. It’s got all the ingredients for growth — affordable properties, strong rental demand, and exciting development projects that are reshaping the area. While specific rental yields can fluctuate, Salford’s average sits around 7% — competitive within Greater Manchester. This is supported by data showing strong annual rent growth, often exceeding 10%, indicating a healthy rental market.
Rental Market Potential
Salford is fast becoming a hotspot for renters. MediaCityUK, a state-of-the-art, purpose-built media hub and vibrant waterfront community, home to the BBC, continues to draw young professionals, while the University of Salford ensures a steady stream of students looking for rentals. Families are also flocking to the area, looking for affordable homes close to Manchester.
Investment Considerations
Looking ahead, Salford’s property market isn’t just performing well now — it has serious future potential. The city is at the heart of several major regeneration projects, which are expected to drive further capital growth and rental demand. The £2.5 billion Salford Crescent Masterplan will create a new mixed-use district with 10,000 homes, commercial spaces, and green areas, while the £1 billion expansion of MediaCityUK will bring more businesses, apartments, and leisure facilities to the area.
5. Preston
- Average Property Price: £172,000
- Average Monthly Rent: £707
- Annual Rent Growth: 8.3%
- Average Rental Yield: 6%
Why Invest in Preston?
Preston is one of the most underrated property hotspots in the North West — but not for long. With affordable prices, rising rents, and huge regeneration projects transforming the city, it’s quickly catching the eye of smart property investors. Whether you’re after strong rental yields or long-term capital growth, now is the time to get in before everyone else does.
Rental Market Potential
If you’re looking for strong rental demand, Preston delivers. Home to UCLan (University of Central Lancashire), the city has over 38,000 students, many of whom need high-quality rental accommodation. But it’s not just students — young professionals and families are flocking here thanks to affordable living and a thriving local economy.
The numbers speak for themselves. Rental prices in Preston have jumped 8.3% in the past year, and investors are seeing yields of up to 6%. The demand for rental homes continues to outstrip supply, making it a landlord’s dream.
Investment Considerations
With over £1 billion being pumped into new developments and infrastructure, Preston is shaking off its under-the-radar status and stepping firmly into the spotlight.
One of the biggest game-changers is the £300 million Preston Station Quarter project, which is set to completely reshape the city centre. We’re talking sleek new business hubs, high-quality apartments, and upgraded transport links that will make Preston feel like a truly modern city.
Animate is a £45 million entertainment hub that’s going to inject some serious life into the city. With a state-of-the-art cinema, bowling alley, and a lineup of new restaurants, it’s exactly what Preston needs to attract more young professionals and families.
6. Stockport
- Average Property Price: £300,000
- Average Monthly Rent: £1,028
- Annual Rent Growth: 14.4%
- Average Rental Yield: 5.11%
Why Invest in Stockport?
Last but certainly not least is Stockport. With affordable property prices, soaring rental demand, and a £1 billion transformation underway, it’s becoming one of the best places in Greater Manchester to invest.
Rental Market Potential
Stockport is a dream for commuters. A 10-minute train ride gets you to Manchester Piccadilly, and Stockport’s mainline station offers direct links to London, Birmingham, and beyond. With this level of accessibility, it’s no surprise that more and more people are choosing to rent here.
Young professionals and families are moving in fast, driving demand sky-high. Rents are already rising at 14.4% annually, which means investors are seeing serious returns.
Investment Considerations
What sets Stockport apart is the sheer scale of regeneration happening right now. The £135 million Stockport Interchange is transforming the town with sleek new apartments, green spaces, and a modern transport hub that will make getting around even easier.
Meanwhile, the £60 million Weir Mill project is turning a historic mill into a vibrant riverside community with stylish apartments, bars, and creative spaces — think Manchester’s Northern Quarter, but without the sky-high rent.
Then there’s Stockport Exchange, a £145 million business district that’s bringing new jobs, offices, and restaurants, making the area even more attractive to professionals looking to live and work in the same area.
On top of that, the massive Town Centre West project is set to deliver 4,000 new homes alongside independent shops and cultural venues, turning Stockport into a true destination in its own right.
Capital Growth Through Property Investment with Alesco
The Northern England property market is set for a major shift, and 2025 is the year to act. With hotspots like Trafford, Liverpool, Hull, and Stockport primed for growth, now’s the time to invest.
At Alesco, we specialise in sourcing affordable buy-to-let properties in some of these high-demand areas, ensuring you get the most out of your investment. If you’re ready to explore the opportunities in Manchester and Liverpool, contact us today. We’ll help you start or grow your property portfolio with high-yield, affordable investments that will pay off for years to come.
Written by: David Jacobs
I specialise in working with high net worth investors across the globe that are looking to create and expand their existing property portfolio in the UK. I have close relationships with all my clients who trust the expertise and knowledge I have within the property industry. I also liaise with banks, receivers and some of the largest developers in the UK in order to source high yielding properties for my clients and to help ensure their long-term financial security.
