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Rental yields›Wales›Cardiff

Rental yield in Cardiff

Cardiff ranks 4 of 22 areas in Wales for rental yield, at 5.2% gross.

Cardiff sits in the upper half for rental yield in England and Wales, a bit above the 4.4% typical figure across all 316 areas.

Over the past year, average prices in Cardiff rose 2.7% and average rents rose 3.5%.

Average gross yield

5.2%

#65 of 316 areas

Average price

£272,252

▲ 2.7% past year

Average rent

£1,177/mo

▲ 3.5% past year

Privately rented

24.3%

of 147,333 homes

Average rent by size

1 bedroom

£908/mo

↑ +3% / yr

2 bedrooms

£1,085/mo

↑ +3.1% / yr

3 bedrooms

£1,211/mo

↑ +4.2% / yr

4+ bedrooms

£1,703/mo

↑ +2.6% / yr

1 bed£908
2 beds£1,085
3 beds£1,211
4+ beds£1,703

Average private rent by number of bedrooms, across new and existing tenancies. ONS Price Index of Private Rents (August 2026).

Council tax bands (2026-27)

Band A

£1,342

Band B

£1,566

Band C

£1,789

Band D

£2,013

Band E

£2,460

Band F

£2,908

Band G

£3,355

Band H

£4,026

Band I

£4,697

Average annual bill for the area, including police and other precepts (MHCLG and Welsh Government, 2026-27). Community precepts vary, and the band is set by the property, so check the exact band on gov.uk.

How it compares

Cardiff5.2%
Highest (Newcastle upon Tyne)7.0%
Typical (median)4.4%
Lowest (Derbyshire Dales)2.8%
See Cardiff on the yield map →
Wales runs its own letting rules. Landlords must register and be licensed with Rent Smart Wales, tenancies are occupation contracts under the Renting Homes (Wales) Act 2016, purchases pay Land Transaction Tax rather than stamp duty, and councils can charge a council tax premium on second homes. England's Renters' Rights Act and landlord register don't apply. All 22 Welsh areas ranked.

Work out the yield on a specific property

Pre-filled with the Cardiff average. Change them for a real property.

Gross yield5.2%

That is right on the Cardiff average of 5.2%. Add costs for a net estimate.

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Nearby areas

Vale of Glamorgan 3.9%Newport 5.0%Caerphilly 4.5%Rhondda Cynon Taf 5.5%Torfaen 5.2%Blaenau Gwent 5.7%All 22 in Wales →

Areas with a similar yield

St. Helens 5.2%Greenwich 5.2%Southwark 5.2%Torfaen 5.2%Redcar and Cleveland 5.1%South Gloucestershire 5.1%
Work out a specific dealCheck this areaAll Welsh areas ranked

Common questions

Is Cardiff a good place to buy to let?

It is around the middle for rental income, at a 5.2% average gross yield. Whether it works depends on the specific property, so always run the actual numbers.

Are rents rising in Cardiff?

Over the past year, average rents in Cardiff rose 3.5% and average prices rose 2.7% (HM Land Registry and ONS, to August 2026).

Is there rental demand in Cardiff?

Rent movement is the best free proxy for tenant demand, and average rents in Cardiff rose 3.5% over the past year (ONS), which points to tenants competing for available stock. Still ask local letting agents about typical void periods before committing to a buy-to-let there. For the size of the market: at the 2021 census, 24.3% of Cardiff's 147,333 households rented privately (17.2% social rented, 58% owner occupied).

What is the average rent for a 1, 2 or 3 bedroom property in Cardiff?

As of August 2026, average monthly rents in Cardiff by property size are £908 for a 1 bedroom property, £1,085 for a 2 bedroom property, £1,211 for a 3 bedroom property, £1,703 for a 4 or more bedroom property (ONS). The all-size average is £1,177 a month.

How much is council tax in Cardiff?

In 2026-27, the average Band D council tax in Cardiff is £2,013 a year including police and other precepts. Bills scale with the property's band: from £1,342 for Band A up to £4,697 for Band I. Community precepts vary within the area, so treat these as area averages and check the exact band and bill with the council.

What is a good rental yield in the UK?

As a rough guide, under 4% is low, 5 to 6% is typical, and above 6.5% is high. Cardiff is at 5.2%.

Weighing up Cardiff? Ask people who invest there in the free Housetrix Discord, or browse every area ranked by yield.

Gross yield = annual rent divided by average price. Average price: HM Land Registry UK HPI (July 2026). Average rent: ONS Price Index of Private Rents (August 2026). Regions: ONS. Local-authority averages across all property types, indicative only. Contains public sector information licensed under the Open Government Licence v3.0. Not investment advice.