Where are the BEST areas to invest in the Northampton Rental Market?

Let's get down to brass tacks:

What are the best areas to invest in the Northampton rental market?

If you're considering property investment in 2025, the Northampton rental market should absolutely be on your radar.

Perfectly positioned between London and Birmingham, with direct rail links, strong tenant demand, and a growing local economy, Northampton has become a hotspot for savvy buy-to-let landlords and property investors.

But not all areas offer the same return. Whether you’re looking for solid rental yields, low-risk tenancies or long-term capital growth, choosing the right area is key to your success.

In this guide, I’ll walk you through the best-performing and up-and-coming areas in Northampton for rental investment, backed by the latest data and on-the-ground insight from our team here at Northwood Northampton.

Why Northampton is a smart place to invest in 2025

Northampton has become a strategic investment location for a number of reasons:

• Location & transport: 60 minutes to London Euston by train; direct access to the M1, A45 and A43 and located in a prime location for business in and outside of Northampton

• Economy: Strong logistics, manufacturing, retail and service sectors

• Education: Home to the University of Northampton & various schools for all ages.

• Housing demand: Limited rental stock and high tenant demand pushing rents upwards.

According to the Zoopla Rental Market Report, rents in the East Midlands rose 8.2% year-on-year, with Northampton among the top towns for consistent growth.

The Rightmove House Price Index shows the average asking price in Northampton currently at around £295,000, while average rents sit at approximately £1,090 per month, giving a typical gross yield of around 4.4%.

But investors can do even better than that — especially if they know where to look.

You can find a full breakdown of individual postcodes on our In Your Street series.

Top areas to invest in Northampton (and why they perform)

Let’s break it down by neighbourhood. Here are some of the best investment spots in Northampton right now:

1. Abington

One of Northampton's most in-demand areas, Abington is a favourite among young professionals, NHS workers and students.

Why it works:

• Walking distance to the town centre

• Near Northampton General Hospital and Abington Park

• Plenty of period Victorian terraces popular for conversion or modernisation

Investor appeal:

• Strong capital growth potential due to gentrification

• Consistently high rental demand

Typical yields: 5% to 6% depending on property type

Northwood tip: Target 2-bed terraces near Abington Park. They're rarely vacant for long.

2. Far Cotton

Located just south of the town centre, Far Cotton has had great developments thanks to new flats and the new campus opening in 2018.

Why it works:

• Affordable purchase prices

• Close to University of Northampton's Waterside Campus

• Attracts students, young couples and short-term tenants

Investor appeal:

• High-yield potential due to lower entry prices

• Ideal for student lets, small HMOs or single lets

Typical yields: 5.5% to 6.5%

Northwood tip: Be prepared for higher tenant turnover if renting a small property, a HMO or a student let. Consider professional management to keep things smooth.

3. Kingsthorpe

This family-friendly suburb offers strong tenant retention and a peaceful setting that appeals to long-term renters.

Why it works:

• Excellent schools and amenities

• Reliable transport into the town centre

• A mix of older and newer properties

Investor appeal:

• Stable, long-term tenancies

• Semi-detached and detached homes perfect for family lets

Typical yields: 4% to 5%, but with fewer voids and lower wear and tear

Northwood tip: Great option for risk-averse investors seeking steady, predictable income, as long as it is reasonably priced.

4. Duston

A large, well-established area to the west of town, Duston is becoming increasingly popular among professionals and young families.

Why it works:

• Local shops, schools and parks

• Excellent links to M1 and A45

• A good mix of traditional homes and newer developments

Investor appeal:

• New-builds attract premium rents and lower maintenance issues

• Great tenant pool from the nearby hospital and retail parks

Typical yields: 4.5% to 5.5%

Northwood tip: Seek out newer builds for a more hands-off investment option.

5. Town centre (NN1 postcode)

If you're chasing yield and turnover isn't an issue, the town centre could be a smart move.

Why it works:

• Constant rental demand from working professionals, students, and contractors

• Walkability and transport links are key drivers

• Scope for HMOs and serviced accommodation (with correct licensing)

Investor appeal:

• Lower price points on flats and maisonettes

• High rental premiums for well-furnished units

Typical yields: 6%+

Northwood tip: Compliance is crucial. Make sure any multi-let or HMO follows council regulations.

Bonus area: East Hunsbury & Wootton

While pricier than other areas, these two neighbourhoods offer excellent long-term capital growth.

Why it works:

• Excellent schools

• Quiet, executive-style homes

• Popular with corporate relocators and families

Investor appeal:

• Low voids

• Stable rents with room for gradual increases

Typical yields: 3.5% to 4.5%, but capital gains make up the difference

Northwood tip: Great choice for investors focused on capital appreciation over immediate income.

What types of buy-to-let properties perform best in Northampton?

Across the board, we see strong demand for:

• 1-bedroom flats & Homes: A quicker turnaround in tenants, but always in high demand.

• 2-bedroom terraces and flats: Affordable, easy to rent, and great for singles, couples, and sharers

• 3-bedroom semis: In high demand among families and typically come with gardens and parking

• HMOs: Especially near the University or General Hospital. Higher income but more complex management

• New-build apartments: Attract professionals looking for modern living, but be cautious of service charges

Choosing the right strategy for your investment goals

Different areas suit different types of investors. Here’s how to match your strategy:

If you want high yield → Look at Far Cotton or modern town centre flats,

If you want capital growth → Consider Abington, Wootton, or East Hunsbury,

If you want long-term family lets → Try Kingsthorpe or Duston,

If you want to manage multiple tenants in Student Lets / HMOs → Investigate licensed HMOs in NN1 and Far Cotton, as these areas are the most popular.

How Northwood Northampton supports property investors

Our team specialises in helping landlords make confident, informed decisions — whether you're just starting out or growing a portfolio.

We offer:

• Free, honest investment consultations

• Accurate rental valuations based on live tenant demand

• Full property management with compliance built in

• Guaranteed Rent service for landlords who value certainty

Ready to explore your options?

Let’s talk. Whether you're buying, refinancing, or simply exploring ideas, we’ll help you navigate the local market.

• Book a free investor consultation

• Browse available rental properties and investments

• Ask us about Guaranteed Rent for fixed, hassle-free income 

Contact Northwood Northampton, or Jason Wells, today.

Northampton@northwooduk.com / JasonWells@Northwooduk.com

01604 607080

Jason Wells is Branch Manager at Northwood Northampton. With over 15 years’ experience in the local property market, Jason specialises in helping landlords competitively price their properties reduce risk, and build long-term success.