According to our annual research, Scotland has the highest average rental yields in the UK – making the country a fantastic opportunity for buy-to-let property investors.
But within Scotland, there’s one city that really stands out… Glasgow.
Glasgow has the fourth-highest average yield in the UK at 7.25%, falling just shy of the table-topping 7.33% found in Middlesbrough and Newcastle. In comparison to those two cities, though, Glasgow has one clear advantage:
Seriously strong capital appreciation.
Average property prices have increased by 23% over the last five years compared to 8% and 13% in Middlesborough and Newcastle, respectively. The local property market has seen upward pressure as demand outstrips supply, with homebuilding rates struggling to keep up with the size of the population.
You may think this sounds like a short-to-medium-term issue that will ease in the future. That may (or may not) be the case, but we think Glasgow property is set for sustainable, long-term growth regardless.
Why?
People like living here. Glasgow has always been a beautiful city, although perhaps somewhat overshadowed by Edinburgh in the past. More recently though, it’s developed a reputation as one of Europe’s finest and was named the heart of the UK’s creative and cultural scene.
The economy is growing too, with a shift from manufacturing industries to digital skills of the future. Major investment is turning Glasgow into a tech hub, and that’s matched by a slew of development projects and regeneration plans from both the public and private sectors.
All of this will drive an ever-increasing level of demand from students, young professionals, and families for homes in the city centre and beyond – ideal for property investment.
And that brings us around nicely to the focus of this article. If you are looking for a buy-to-let in Glasgow, which areas of the city are going to provide the best returns?
The 5 Best Areas For A Buy-to-Let In Glasgow
Using exclusive industry data, we’ve found five of the best areas in Glasgow for a buy-to-let investment property – based on the likely rental yield performance and long-term growth in values.
Our method was simple:
- There are 50 postcode districts across Glasgow.
- We extracted property market data for each postcode.
- We then scored each postcode by its average rental yield and growth in property values over the past five years:
- The postcode with the highest average rental yield received 50 points. The second-best received 49 points. And so on.
- The postcode with the highest growth received 50 points. The second-best received 49 points. And so on.
- The rental yield score was multiplied by three to give it a stronger weighting (yield should take slight precedence for buy-to-let investors).
- The two scores were added together to calculate a final score, by which the results are ordered.
Based on the data, here’s the top five:
| Postcode | Avg Price | Avg Rent | Avg Yield | Yield Score | 5yr Price Change | Price Change Score | Total Score |
| G21 | £106,264 | £766 | 8.7% | 147 | 44% | 47 | 194 |
| G52 | £112,982 | £890 | 9.5% | 150 | 34% | 43 | 193 |
| G44 | £149,827 | £953 | 7.6% | 135 | 36% | 45 | 180 |
| G32 | £129,671 | £830 | 7.7% | 138 | 27% | 37 | 175 |
| G31 | £156,026 | £1,002 | 7.7% | 141 | 26% | 33 | 174 |
1. G21
The G21 postcode, covering a large section of north Glasgow – including Springburn, Balornock, and Robroyston – has some of the most affordable properties in the city. It’s a predominantly working-class area, with historically higher levels of deprivation compared to other parts of Glasgow.
However, don’t let that put you off. The data doesn’t lie: G21 stands out due to a strong rental yield of 8.7% (the second-highest in Glasgow) and an exceptional capital growth of 44% over the last five years.
Demand is driven by first-time buyers and renters seeking value for money mixed with easy access to the city centre. Plus, there are several parks, a hospital, two train stations and the M8 motorway all nearby.
2. G52
G52 covers several of Glasgow’s southwestern suburbs, including Cardonald, Hillington, and Penilee.
Again, it’s an area with traditionally higher levels of socioeconomic deprivation, which feeds into the lower property prices. But this is exactly what gives the area such good potential for a buy-to-let.
For cities on the up, regeneration and improvement to infrastructure typically start in the centre and radiate outwards. Areas like G52, and G21 above, will benefit as city-wide plans progress – providing greater connectivity and employment opportunities.
The area attracts a diverse tenant base, including young professionals, families, and even students attending the nearby University of the West of Scotland (UWS) campus. Local amenities such as schools, parks, and shopping facilities like Braehead Shopping Centre appeal to families, while Hillington Industrial Estate is home to over 500 businesses.
The result?
A city-best average rental yield of 9.5%, which should grab the attention of any prospective landlords.
3. G44
As you head south of the River Clyde, you enter Glasgow’s Southside.
This is Glasgow’s most in-demand area. It’s filled with popular bars, trendy food spots, parks, and cultural attractions, like Hampden Park (the national football stadium). Expect to find leafy streets, Victorian tenements, a strong creative scene, and a community-led feel.
G44 sits on the southeastern edge of Southside, providing excellent access to the entire area but at a slightly more affordable price. It has excellent fundamentals for investors, with a solid 7.6% yield and excellent price growth of 36%, which is to be expected for the area.
4. G32
G32 is in Glasgow’s East End, including Shettleston, Tollcross, Mount Vernon, and parts of Carmyle. Known historically for its industrial roots, G32 is gradually transforming – with new housing developments enhancing its appeal to renters and investors alike.
That’s reflected in excellent local market performance, with yields averaging 7.7% and prices rising by 27%.
You can expect that to continue, too. Ongoing investment in the eastern suburbs, such as the nearby Clyde Gateway regeneration project, should provide a further boost to property values and rental demand in the future.
Overall, G32 represents a well-rounded opportunity with solid rental yields and the potential for steady capital growth.
5. G31
Adjacent to G32, but slightly closer to the city centre, is G31. This postcode covers Dennistoun, Haghill, and parts of Parkhead.
Known for its historic tenement buildings and community feel, G31 has become a hotspot for young professionals and students, making it an excellent choice for buy-to-let investors.
Dennistoun, in particular, is a standout. The area is considered an excellent place to live by locals, with Glasgow city centre just a short bus ride away and a selection of independent shops, bars, pubs, restaurants and cafes to suit all preferences.
The redevelopment of Glasgow’s East End adds to the investment potential, with improving infrastructure and amenities likely to increase demand in the coming years.
Summary
Glasgow is one of the most cost-effective property markets in the UK for buy-to-let investors.
It’s substantially more affordable than the Scottish capital (the average price in Edinburgh is £347,000 vs £190,000 in Glasgow) and offers excellent returns through rental income and capital appreciation. A winning combination.
More importantly, this should be sustained in the long term by exciting investment plans for the city’s housing, infrastructure and job markets.
If you are interested in purchasing a rental property in Glasgow, then get in touch with our team.
We specialise in connecting investors with suitable buy-to-let opportunities across the UK. Get in touch to discuss your budget and goals, and we’ll help you find the perfect spot. Fill in the contact form below to get started.
About Our Data
The data in this article is an accurate representation of Glasgow’s property market as of November 2024. We’ll update this report next year, in 2025, with fresh data.
