fbpx
Categories
Airbnb Investment All About Airbnb

Investing in Property for Sale: How to Buy A Profitable Property for Airbnb in Liverpool City Centre

airbnb property for sale Liverpool City Centre

airbnb property for sale Liverpool City Centre

Looking for house prices in Liverpool that sit well below the market average with high rental income? The answer is here in this blog! This city is famous for being the hometown of the popular British band, The Beatles, and of course, The Anfield Stadium & Albert Docks. 

Liverpool holds is its impressive rental yields and affordable house prices which offer the perfect option for property investments in 2022. So it’s no wonder businesses and investors choose this area in the north over many more expensive properties in the south. Airbnb rental arbitrage in Liverpool confirms that the City centre has the highest yields in Liverpool, which makes it a profitable city for investment.

When looking for a property for Airbnb in Liverpool, it’s important to determine your preferred property type’s profitability. Aside from this, it’s also good to know that Airbnb rules in Liverpool have no restrictions on the number of days to let. In this article, we’ll discuss the metrics in order to gauge the best property investment in Liverpool, which is an important step when buying a property investment in the UK

To get a complete overview of properties in Liverpool, we included the best website recommendations for property investment, gross rental yield, cash-on-cash return, and annual revenue, along with some of the most ideal and profitable properties according to their location.

Is Property Investment Profitable in Liverpool City Centre?

Since the UK has the fastest-growing property markets across the globe, there is a wide variety of profitable property investments offering higher yields. Using a short-term rental calculator, it was discovered that a 3-bedroom apartment in Liverpool City Centre can generate an annual revenue of £60,134 with a steady occupancy rate of 62% and a nightly rate of £247.

airbnb property for sale Liverpool City Centre

airbnb property for sale Liverpool City Centre

Profitable Properties for Sale in Liverpool City Centre

Finding the best properties that have the potential to produce high yields and capital growth are certainly some of the preferences of major investors. It’s always best to ask for assistance from real estate agents to access exclusive and unique properties during the development stage. 

At the same time, it’s even better when a property investor like you conducts research about predicted growths and market forecasts. Check out the new houses for sale in Liverpool City Centre along with the calculated gross rental yield, cash-on-cash return, and annual revenue:

airbnb property for sale Liverpool City Centre
airbnb property for sale Liverpool City Centre

Norton Street, Liverpool, Merseyside L3

1. Studio-type Property for Sale in Liverpool
0.2 miles to Liverpool Lime Street

Asking Price: £80,000

GROSS RENTAL YIELD 24.69%
ANNUAL REVENUE £19,751
CASH ON CASH RETURN 48.30%
airbnb property for sale Liverpool City Centre
airbnb property for sale Liverpool City Centre

Liverpool City Flats, Watkinson Street, Liverpool L1

2. 1-Bedroom Property for Sale Liverpool
0.6 miles to Liverpool Central

Asking Price: £90,000

GROSS RENTAL YIELD 23.13%
ANNUAL REVENUE £20,819
CASH ON CASH RETURN 43.63%
airbnb property for sale Liverpool City Centre
airbnb property for sale Liverpool City Centre

Princes Gardens, Highfield Street, Liverpool L3

3. 2-Bedroom Property for Sale Liverpool
0.2 miles to Moorfields

Asking Price: £120,000

GROSS RENTAL YIELD 24.45%
ANNUAL REVENUE £29,334
CASH ON CASH RETURN 47.57%
3-Bedroom Property for Sale Liverpool
3-Bedroom Property for Sale Liverpool

Ling Street, Liverpool, Merseyside L7

4. 3-Bedroom Property for Sale Liverpool
1.1 miles to Wavertree Technology Park

Asking Price: £160,000

GROSS RENTAL YIELD 25.90%
ANNUAL REVENUE £41,442
CASH ON CASH RETURN 51.94%
-Bedroom Property for Sale Liverpool
-Bedroom Property for Sale Liverpool

 Keats Close, Great Sutton CH66

5. 4-Bedroom Property for Sale Liverpool
3.9 Miles to Frizinghall

Asking Price: £100,000

GROSS RENTAL YIELD 25,28%
ANNUAL REVENUE £82,169
CASH ON CASH RETURN 50.08%

Conclusion

Since Airbnb is rapidly increasing and constantly changing for each city in the world, it is crucial to make decisions based on wild guesses. The data points mentioned in this article for Liverpool such as Airbnb occupancy rates, annual revenue, and average daily rate should be the primary basis before investing in a property. 

Hence, if the data presented above has given you ideas to boost your strategic pricing plan for your business, then an Airbnb rental arbitrage calculator is certainly what you need for success in the long run. It’s a fact that some of the STR investors are also considering Airbnb Rental Arbitrage, but they still need to have a reliable data tool on which to base their conclusions! 

As we live in a digital era, an accurate data analytics tool can help your business stand out among your surrounding competitors and benchmark your property by tracking the occupancy rates of competing listings in your preferred city.

Airbtics
Categories
Airbnb Rental Arbitrage All About Airbnb

Airbnb Rental Arbitrage in Liverpool

Are you interested in achieving financial independence through passive income? Here’s a disclaimer: you don’t need to own a property to start the Airbnb rental arbitrage business! In this article, we featured the entire process of Airbnb rental arbitrage in Liverpool, its profitability, and the best areas and neighborhoods. Continue reading to learn more about short-term regulations and ways to convince landlords to sublet properties for rental arbitrage!

What is Rental Arbitrage? 

Rental Arbitrage is a way to start an Airbnb business with no money. By convincing landlords to lease you a property, you can furnish and sublease it on Airbnb and VRBO. No need for you to buy a property! 

It is perfectly legal and is a proven scalable business model. In my podcast, I have spoken to various entrepreneurs doing Airbnb arbitrage full-time. 

Here’s a proof! In Liverpool, Katy, Joe & Team manages 78 listings and I’m pretty sure they don’t own the all properties. They made £2,825,823 in the last 12 months!  

Liverpool airbnb rental arbitrage

How much can I make with rental arbitrage in Liverpool?

Before you dive in and start putting out your hard-earned money on a property, it’s important to know how much profit you can make. For instance, the best neighborhood to invest in is Liverpool City Centre, located in the L1 district which ranks the highest yields (averaging 9.33%) in Liverpool. 

Since this neighborhood covers the city centre and is a popular student area, Liverpool City Centre has boosted rental demand and yields! Now that we have the best neighborhood to invest in Liverpool, let’s talk about profitability and monthly expenses.

Liverpool airbnb rental arbitrage
Profit & Monthly Expense in Liverpool

Based on Airbtics’ data, you can earn a whopping £5,162 per month for a 3-bedroom apartment in Liverpool City Centre alone. With the data provided, you can certainly tell that investing in a property in Liverpool is profitable!

Average Rent Price Airbnb Monthly Revenue Monthly Expense Monthly Profit
£1,161 £5,162 £1,032 £2,969

Source: Airbtics dashboard

The monthly profit can be calculated by subtracting the Airbnb monthly revenue, the rental price and monthly expense (£5,162-£1,161-£1,032 = £2,969).

 Startup Cost in Liverpool

Now that you have an overview of how much your monthly expense and revenue is, let’s talk about the start-up cost! How long does it take for an investor like you to get back the startup cost? Let’s take a look at this calculation:

Total Startup Cost (Average startup cost + 2 months rent price) Cash Return Time
£4,322 1 month

The average estimated startup cost (for furnishing) in Liverpool is around £2,000. To compute the total startup cost, it is necessary to add the 2 months of average rent price (£2,322). Now that we have a total startup cost of £4,322, cash return time can be calculated by dividing this by the monthly profit (£2,969).

Given your monthly revenue of £2,969, it will take approximately 1 month time to get back the startup cost! In such a short period of time, you can already expect profit and consider starting your second unit for rental arbitrage. If this sounds promising to you, then go ahead and look at the other best areas for rental arbitrage in Liverpool!

Best Areas for Rental Arbitrage in Liverpool

Before investing in a particular area in Liverpool, you have to take a look at the top markets and number of listings to set your expectations for success. Check out the top 3 neighbouroods in Liverpool ranked by their annual revenue, along with their occupancy & daily rates!

1. Liverpool City Centre (L1)

Liverpool City Centre is popular for its purpose-built student accommodation, which has yields ranging from 6.8 – 9.33%! With popular destinations nearby, the rental growth continuously increases in this area. Here’s what you can expect in this neighbourhood:

Type of Bedrooms Average Rent Price (pcm) Average Airbnb Revenue Occupancy Rates Average Daily Rate
1-bedroom £682 £1,849 62% £151
2-bedrooms £1,020 £2,587 65% £218
3-bedrooms £1,253 £1,683 64% £347

According to our Airbtics Dashboard, there are more than 368 Airbnb listings with 46 private room properties and 158 one-bedroom properties in this area. The monthly revenue for most properties in Liverpool City Centre is more than £2,968 per month with occupancy being more than 35%.

2. Edge Hill (L7)

One of the most popular student property areas in Liverpool, Edge Hill offers an average rental yield of 9.79% and has cheaper property prices! Here’s what you can expect in this neighbourhood:

Type of Bedrooms Average Rent Price (pcm) Average Airbnb Revenue Occupancy Rates Average Daily Rate
Studio-type £750 £1,001 82% £35
1-bedroom £544 £821 72% £56
2-bedrooms £872 £1,435 66% £96

This area has a total of 44 Airbnb listings with 11private room properties and 19 one-bedroom properties. The monthly revenue for most properties in Edge Hill is more than £275 per month with occupancy being more than 33%.

3. Wavertree (L15)

Last but not least, Liverpool’s thriving student neighborhood – Wavertree! Many investors turn their properties in this area into houses of multiple occupancy since it is popular to students and business professionals. Here’s what you can expect in this neighbourhood:

Type of Bedrooms Average Rent Price (pcm) Average Airbnb Revenue Occupancy Rates Average Daily Rate
1-bedroom £675 £2,217 66% £104
2-bedrooms £721 £2,002 58% £77
3-bedrooms £850 £1,504 56% £143

This area has a total of 74 Airbnb listings with 39 private room properties and 36 one-bedroom properties in this area. The monthly revenue for most properties in Wavertree is more than £1,098 per month with occupancy being more than 45%.

how much can you make on airbnb

Short-term rental regulations in Liverpool

To begin with, it’s certainly important to be familiar with the Airbnb rules in Liverpool to make sure that your business will run smoothly. Here are some of the short-term rental regulations and laws to take note of:

  • No restriction on the number of days. It can be for as long as 6 months.
  • It is required to pay a Council tax in Liverpool.
  • Any property with five or more people who form unrelated households, and share amenities such as a kitchen or bathroom, must have an HMO licence. Learn more about an HMO licence in Liverpool.

How to Find Landlords for Airbnb Rental Arbitrage

Airbnb investment through rental arbitrage is one of the best strategies to have passive income. However, it could be a challenge to find a landlord that allows their property for subletting on Airbnb. You can also convince a landlord by following the rental arbitrage email template & be extra creative! 

Here are ways how you can find landlords that allow Airbnb rental arbitrage:

  1. Real Estate Websites

Renters in the digital world who are looking for properties online can easily connect with landlords. Some of the most recommended online real estate websites which allow you to filter by city, state, or ZIP code are:

However, you can also find apartment & condominium properties online in the following websites:

  1. Search Engines & Marketplaces

There are numerous property owners who are leasing their properties and you can easily find them on Google & online marketplaces. Check out some of the most recommended marketplaces:

  1. Communicate with Landlords

If you are currently renting a space or know someone who is, then it’s also recommended to speak with them. Start by asking if there are vacant rooms or properties and let them know about your intentions of putting them up for rental arbitrage. They might also be able to recommend neighbors or local friends who are also interested in this idea!

Airbtics
Categories
Airbnb Rules All About Airbnb

Airbnb Rules in Liverpool

Liverpool Airbnb & short-term rental rules are important for hosts and property investors’ success in the UK. Find out more and be a pro!

Airbnb Rules in Liverpool

Liverpool airbnb rules

Airbnb Rules in Liverpool

Liverpool Airbnb & short-term rental rules are important for hosts and property investors’ success in the UK. Find out more and be a pro!

If you are looking to buy investment properties in the UK, knowing the Airbnb rules in your preferred city is the first step! In this article, we featured Airbnb regulations in Liverpool along with short-term let policies, buy to let properties, things to consider in property investment, and more. Continue reading and learn more about the Airbnb rules in Liverpool!

Is Airbnb legal in Liverpool? 

Don’t worry, Airbnb is legal in Liverpool! This city is undoubtedly well-known for producing some outstanding musicians such as The Beatles. Aside from that, we can’t deny that Liverpool is one of the best cultural destinations in the United Kingdom. It doesn’t matter whether you like sports, music or history, this city will have something prepared for you!

Here is a little proof! As of May 2022, there are 17,609 nights available in Liverpool from Airbnb alone. Katy, Joe & Team manages 72 listings, Dream Apartments and iStay operates 49 and 44 respectively. 

How much can I make by running an Airbnb in Liverpool?

Currently, there are 988 Airbnb listings in Liverpool, with 52% of entire houses earning up to £2,593 a month. The Average Occupancy Rate in Liverpool is 46% and the average daily rate is £170. According to a vacation home rental data source Airbtics, a 2-bedroom apartment in Liverpool can make up to £45,068 each year. Discover how much profit can you make with our Airbnb Estimator.

Liverpool airbnb rules
Short-term rental policy in Liverpool
  • No restriction on the number of days. It can be for as long as 6 months.
  • It is required to pay a Council tax in Liverpool.
  • Any property with five or more people who form unrelated households, and share amenities such as a kitchen or bathroom, must have an HMO licence. Learn more about an HMO licence in Liverpool.

Liverpool Property Investment

Before investing in a property in Liverpool, you have to consider the major determinators for success. This includes average price, population, nearby landmarks or attractions, and rental yields to expect – among the rest. Here are some of the most recommended areas in Liverpool that you can look into & consider purchasing:

airbtics-logo-300x87
Area Population Average House Price Average Rent Price (pcm) Average Airbnb Revenue Yield
City Centre (L7) 33,000 £136,904 £364 - £975 £2,805 Yields here range between 9.33% in L1 and 6.8% in L2.
South Liverpool (L18-L20) 63,000 £136,651 £966 - £1,842 £2,938 9.79% yields
North Liverpool (L37-38) 223,000 £98,000 - £130,000 £676 - £1,599 £1,776 In the L6 postcode, 7.85% yields are possible. Yields elsewhere, based on the L20 (Bootle) area, should still be a healthy 5%.

Airbnb Location

Dataset

City Centre (L7)

  • Population: 33,000
  • Average House Price: £136,904
  • Average Rent Price (pcm): £364 – £975
  • Average Airbnb Monthly Revenue: £2,805
  • Yields: Yields here range between 9.33% in L1 and 6.8% in L2

South Liverpool (L18-L20)

  • Population: 63,000
  • Average House Price: £136,651
  • Average Rent Price (pcm): £966 – £1,842
  • Average Airbnb Monthly Revenue: £2,938
  • Yields: 9.79% yields

North Liverpool (L37-38)

  • Population: 223,000
  • Average House Price: £98,000 – £130,000
  • Average Rent Price (pcm): £676 – £1,599
  • Average Airbnb Monthly Revenue: £1,776
  • Yields: In the L6 postcode, 7.85% yields are possible. Yields elsewhere based on the L20 (Bootle) area, should still be a healthy 5%.

Source: Rental Properties in Liverpool

Buy to Let in Liverpool

If you are looking to start an Airbnb business in the UK, this is your go signal to do so! Liverpool is a practical investment because it has been a consistent magnet for tourists, students, and business professionals across the globe. This city in the UK has numerous opportunities for investors seeking high yields for a modest outlay.

As the UK’s highest-yielding city, Liverpool has both capital values and rents skyrocket annually! Some of the specialist property investment companies that you can contact are Pure Investor, RW Invest, and Marshall Property.

Rental Properties in Liverpool

Buying a property in Liverpool with an impressive rental yield is an excellent way to have a passive income. Due to relatively low house prices and high rental demand, property investors in this city are aiming to buy more properties. By looking at the following property investment websites such as Zoopla & Reeds Rains, you can get a grasp of the various prices in Liverpool.

Conclusion 

In my personal opinion, the biggest advantage of running a short-term rental is high return! I’ve talked to hundreds of Airbnb hosts over the past years and frequently met hosts making 15 – 30% gross rental yields, and 10-20% net. It’s also fun to do, especially if you’re located in Liverpool!

However, if you’re still uncertain about investing in this city, you can jump ahead and see other UK rental market trends

Unlock Worldwide
Short-Term Rental Data
Find unsaturated neighborhoods with the highest occupancy history.

Unlock Worldwide
Short-Term Rental Data
Find unsaturated neighborhoods with the highest occupancy history.

Keep Reading

Indonesia Airbnb average daily rate
A snapshot of the Indonesia Airbnb market in 2020 (VS Hotel)

Indonesia may have been late to start in the Airbnb market but it’s one of the fastest-growing countries in Southeast Asia in terms of inbound …

Read More →
best places to airbnb in rhode island
Best Places to Airbnb in Rhode Island: A Guide to Real Estate Investment near Providence

best places to airbnb in rhode island Key Takeaways ● Providence’s growing economy, reasonable real estate prices, and solid tourist market have allowed many Airbnb …

Read More →
Annual Airbnb Revenue in Corydon indiana, USA

Corydon, Indiana| Airbnb Market Data & Overview | USA Corydon, Indiana Airbnb Market Data & Overview USA Is it profitable to do Airbnb in Corydon, …

Read More →
Annual Airbnb Revenue in Clearlake oaks california, USA

Clearlake Oaks, California| Airbnb Market Data & Overview | USA Clearlake Oaks, California Airbnb Market Data & Overview USA Is it profitable to do Airbnb …

Read More →
Annual Airbnb Revenue in Inverness florida, USA

Inverness, Florida| Airbnb Market Data & Overview | USA Inverness, Florida Airbnb Market Data & Overview USA Is it profitable to do Airbnb in Inverness, …

Read More →
Annual Airbnb Revenue in Juneau alaska, USA

Juneau, Alaska| Airbnb Market Data & Overview | USA Juneau, Alaska Airbnb Market Data & Overview USA Is it profitable to do Airbnb in Juneau, …

Read More →

Airbnb Data
Airbnb Data

Join The Club!

Get a free weekly
Data-DRIVEN REPORT

will only send you value bombs

ARE YOU IN?

Get Access to our weekly data-driven airbnb report!