Where Are UK Property Prices Rising Fastest? A Smart Investor’s Guide for London Landlords
- 20Property Management
- Oct 1
- 4 min read
London landlords face a unique challenge: while property prices in the capital have been subdued, other parts of the UK are experiencing extraordinary capital growth. For investors focused on rental income, long-term gains, and profitable short-term lettings, understanding where property values are rising—and why—can unlock lucrative opportunities.
At 20Property Management, we support landlords with more than just lettings. Our full-service property management includes everything from tenant sourcing to Airbnb management, staging and design, and 24/7 guest support. We’re here to make property ownership more rewarding and less stressful.
In this guide, we break down the latest Zoopla findings and what they mean for landlords looking to build wealth through smart investments.
📈 The Capital Growth Landscape: A Shift Beyond the South
Over the past five years, one million UK homes have increased in value by 50% or more, despite wider economic uncertainty. While the average UK property has grown by 20% since 2020, areas in the North West, Yorkshire, and Wales have outperformed, offering exceptional value and returns.
In contrast, much of Southern England, particularly London, has experienced slower growth, and in some areas, property values have even declined.
Key takeaway for London landlords: While the capital remains a premium market for rental yields—especially through Airbnb and short-term lettings—those looking to diversify their portfolio or maximise capital appreciation should pay attention to emerging hotspots in the North and West.
🏡 Northern Stars: Where Property Prices Are Soaring
According to Zoopla, the most significant price growth has occurred in:
Wales: Homes here have risen by an average of £90,700 in just five years.
Yorkshire and the Humber: Average growth of £86,200.
North West England: Up by £77,100 on average.
These gains are driven by several key factors:
Lower starting property values
Lifestyle changes post-pandemic
High rental growth making ownership more attractive for first-time buyers
In cities like Liverpool, Manchester, Oldham, Bolton, and Rochdale, even modest price increases translate into large percentage gains. For landlords, this opens doors to investing in high-growth locations without London’s high entry cost.
🧭 Hotspots to Watch: From Blaenau Gwent to Greater Manchester
🔹 South Wales
Areas such as Merthyr Tydfil and Blaenau Gwent are leading the way, with three in ten homes increasing by 50% or more in just five years. Average rises of nearly £50,000 have been recorded in locations that benefit from access to Cardiff yet remain highly affordable.
🔹 Greater Manchester & Surrounding Towns
In the North West, suburbs bordering Manchester such as Oldham, Rochdale, and Bolton have seen values rise by over £60,000, with many properties gaining over 50%. Investors here are taking advantage of high rental demand, good infrastructure, and regeneration initiatives.
At 20Property Management, we help investors capitalise on these regional opportunities with compliant, hands-off, and fully managed HMO and Airbnb services—ensuring your investment works harder for you, no matter where it's located.
🌆 What’s Happening in the South—and London?
Despite London’s appeal as a global city, price growth has been muted:
Only 2% of homes in southern England gained 50% or more in value.
The average increase in London since 2020 has been just £47,700.
Some inner London boroughs like Westminster and Kensington & Chelsea saw up to 50% of homes lose value compared to their June 2020 estimates.
On average, 13% of homes in London have fallen in value by 5% or more, equating to £34,000 in losses.
Why? High property prices, elevated mortgage rates, and reduced buyer affordability have cooled the capital’s sales market—even though rental demand remains strong.
For landlords in London, the key is maximising rental income, not relying on capital growth alone. Our expertise in Airbnb management, interior staging, and guest communication ensures your property stands out in a competitive market.
🌊 The Exceptions: Coastal & Countryside Escapes
While southern urban areas have slowed, coastal locations and rural retreats have performed well:
Isle of Wight homes that gained 50% in value saw average price hikes of £182,400.
Areas of natural beauty and lifestyle appeal are drawing high-value buyers seeking more space and a slower pace post-pandemic.
If you own a second home or holiday let, consider how short-term lettings could generate premium returns. 20Property Management can help you transition from long-term tenancy to hands-free holiday rental success.
💼 Strategy for Landlords: What Should You Do Next?
Whether you own in London or are looking to expand your portfolio, here’s what smart landlords should consider:
1. Maximise Returns on Existing Properties
London may not be seeing capital growth right now, but rental income potential remains strong—especially with our proven strategies for Airbnb and HMO success. From listing to maintenance, we handle it all.
2. Diversify Your Portfolio
Consider adding high-growth, lower-cost properties in areas like South Wales or the North West. 20Property Management can connect you with trusted sourcing partners and manage the property for you remotely.
3. Stay Ahead on Compliance
Whether you're running a short-term let or an HMO, compliance is critical. We handle licensing, fire safety, tenant screening, and all the legal responsibilities so you don’t have to.
4. Stage to Sell (or Let)
Well-presented homes rent faster and for more. Our interior staging services enhance property appeal, attract premium tenants or guests, and increase rental yield.
Final Word: Let the Experts Handle It
The UK property market is evolving fast. While capital appreciation varies by region, one thing remains constant: well-managed properties perform better.
Whether you're letting a flat in Chelsea or considering an HMO in Manchester, 20Property Management delivers full-service property solutions designed for landlords who want peace of mind and strong returns.
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