Landlords looking for the best returns in 2025 may need to think beyond London and the South East. New analysis from Archimedia Accounts has revealed the top 10 UK buy-to-let hotspots based on gross rental yields, with Boston, Blackpool and Bolsover leading the way.
The study found that in several towns, average flat prices remain under £100,000, yet still deliver strong annual rental incomes for landlords.
In Boston, Lincolnshire, average flat prices stand at £80,402, with a one-bedroom flat renting for £495 per month or £5,940 annually. After factoring in Stamp Duty Land Tax (SDLT) and legal fees, Boston offers the highest gross yield of 7.07% among the areas surveyed.
With its mix of affordability, good transport links to Nottingham and Leicester, and proximity to scenic coastal areas, Boston is emerging as a strong value option for investors.
Coastal Blackpool delivers
Blackpool came second, where average flat prices are just £74,364. With one-bedroom flats renting for around £412 per month, landlords can expect a gross yield of 6.35%.
The town benefits from a large population, a resilient tourism-driven economy, and good connections to Manchester and Liverpool, making it attractive for investors seeking both consistent demand and affordability.
Bolsover rounds out the top three
In Bolsover, Derbyshire, average flat prices of £90,302 and rents of £483 per month generate a gross yield of 6.15%. With its proximity to Sheffield and Nottingham, rising population, and cultural appeal through landmarks such as Bolsover Castle, the town offers both strong returns and long-term growth potential.
The other contenders
Other high-yielding areas in the top 10 include Middlesbrough (6.13%), Sunderland (6.02%) and Fenland (5.85%). In each case, affordability remains the key driver of returns, with flat prices below £100,000 in many cases.
London lags behind
At the other end of the scale, Kensington and Chelsea was ranked the least profitable location for landlords. Average flat prices in the exclusive West London borough stand at a staggering £1.12m, with one-bedroom flats renting for around £1,798 per month. Despite the high rents, the gross yield works out at just 1.77% once SDLT and legal fees are taken into account.
While the address carries prestige, Archimedia warned that the sheer cost of entry makes it a poor choice for landlords without significant wealth or inheritance.
Chris Demetriou, co-founder of Archimedia Accounts, said the findings highlighted the importance of looking beyond traditional property hotspots: “With the cost-of-living crisis, we’re seeing more small landlords exit the rental market due to rising costs, falling yields, and increasing regulatory pressures. Yet the UK’s housing demand continues to outpace population growth, keeping the market alive and, in some areas, thriving.
“This study shows that often-overlooked towns like Boston, Blackpool and Bolsover can still deliver strong returns. While not all ownership costs were factored into the calculations, the findings provide a clear picture of where value and potential growth remain.”
Archimedia noted that the wider buy-to-let market is still competitive. In the first quarter of 2025, buy-to-let lending surged to £10.5 billion, while the average interest rate on new mortgages eased to 4.3%. Gross rental yields edged higher too, averaging 6.94%, demonstrating that opportunities remain for informed investors.
