Where to Invest in 2023 - hotspots enjoy over 15% yields

A buy to let investment site has used Artificial Intelligence to identify 10 top property investment opportunities in 2023. 

Based on analysis of Property Forecaster’s 2022 data, alongside market forecasts and experts’ opinions, the north of England is predicted to continue to dominate the most investable locations next year. 

Bootle tops the list with the greatest number of ‘Diamond’ ranked properties – these properties have been identified as the best investments by Property Forecaster’s AI powered technology. 

The top 10 locations for 2023 are (1) Bootle; (2) Washington; (3) Hartlepool; and (4) Burnley. Predicted yields for these locations range from 14.1 per cent to 18.6 per cent.

Then come Newcastle-under-Lyme, Grimsby and Gateshead (all around 13 per cent); eighth to 10th place locations are Kingston-upon-Hull, Salford and Swansea, all between 11 and 12 per cent.

Anne-Marie Humphreys from Property Forecaster says: “Our technology has identified over 5,000 properties currently available to purchase that will appreciate in today’s market. It is definitely a buyer’s market with the purchaser holding the power to negotiate a good price”.

“The north east in particular looks like a very strong location for investors in 2023, especially given the government’s levelling up strategy.  Properties purchased in 2018 have increased in value as much as 200 per cent, especially at the bottom end of the market." 

An entry level investment property in the north east in 2018 was £20,000 and currently it is being valued at £60,000 – whilst this may only be a £40,000 increase, and therefore small in comparison to a monetary gain in property value in London, the percentage gain is dramatically higher.

“For the best investment opportunities, it is important to look outside of the big cities – for the last four years we have consistently seen that it’s the satellite towns where the best investment buys are available – Bootle, not Liverpool, and Washington, not Sunderland for example”. 

She says properties under £350,000 will offer the best opportunities for investors in 2023, adding: “We don’t envisage that there will be a massive price crash next year as predicted by some experts, especially in properties below £350,000. We are definitely seeing underlying strength in this price bracket. Interest rates are now stabilising as the political climate settles which we believe will prevent the market correction many people were fearing”.