Rental yields in Bedford and surrounding areas

If you are looking to invest in property to rent out, it makes sense to weigh up your options and there are a number of key points to consider. One of the most important elements to have in mind is the rental yield. With average property rents in Bedford being £763 per calendar month and the average selling price for property comes in at around £230,000, you can see what the average cost and income will be, but obviously every individual rental option will have its own merits and issues.

When it comes to working out the rental yield for Bedford, it is important to note that there are three main postcode areas for the town. This means that you should look at the MK40, MK41 and MK42 postcodes to find out the best rental yields in the area.

In the MK40 postcode area, one bedroom properties offer a 6.53% rental yield, two bedroom properties offer a 5.89% rental yield, three bedroom properties offer a 5.09% rental yield, four bedroom properties offer a 4.38%rental yield and five bedroom properties offer a 3.49% rental yield.
In the MK41 postcode area, one bedroom properties offer a 7.13% rental yield, two bedroom properties offer a 5.52% rental yield, three bedroom properties offer a 4.54% rental yield, four bedroom properties offer a 3.54%rental yield and five bedroom properties offer a 3.59% rental yield.
In the MK42 postcode area, one bedroom properties offer a 6.3% rental yield, two bedroom properties offer a 5.84% rental yield, three bedroom properties offer a 4.59% rental yield, four bedroom properties offer a 4.06%rental yield and five bedroom properties offer a 3.87% rental yield.

A one bedroom property in Bedford looks to provide the best yield
The overall figures suggest that a one bedroom property provides the best rental yield in Bedford while the smallest return comes from a five bedroom property, which is probably no surprise given the comparative costs of these properties. While you should be looking at overall yield, you need to take on board the fact that there will likely be more two or three bedroom properties available on the market but that the one bedroom property is likely to be more affordable. It is natural to think that there will be a higher level of demand for two bedroom properties, which may negate some of the benefits of the higher yield of the one bedroom property, but it is an issue for individuals to think about.

The lowest rental yield for a two bedroom property in Bedford comes in at just over 5.52% and given that the average rental yield in London comes in at around 4%, it is clear to see that buying and then letting in Bedford will provide benefits over what is on offer in the English capital.
Looking at the figures for MK43, suggests that the rental yield in Bedford are more attractive than what is on offer in local areas. In MK43, you’ll find that a one bedroom property offers a 5.99% rental yield while a two bedroom property only offers a 4.64% rental yield.