HSBC has released figures on two towns giving landlords highest jump in rental yields. A new influx of young professionals from London have decided to make these places their "homes", as they are unable to buy their first home in the City because of spiralling prices.

The research shows that these two cities that in 2013 gained the biggest increase in rental yield throughout the whole country.

 

The South East is at present experiencing the lower yields for new investors in the rental marketplace, however those already operating in the region can be heartened by the fact their properties have increasingly higher property values.

Reading's average yields have increased from 4.86% to 5.48%, average monthly rent is £950 and a typical house price is £207,934.

Brighton and Hove average yields have increased from 5.68% to 6.17% with houses costing in the region of £242,535, and rents as high £1,248 per month.
 
The bank surmises that the increase from London's young professionals is because for the same amount that they would pay to rent in the City, they are able to afford considerably larger space in these two towns that are in easy commutable areas to the Capital.