Rental yields›Southwark
Rental yield in Southwark
Southwark 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 Southwark rose 2.2% and average rents rose 3.8%.
Gross yield
5%
Average price
£582,473
↑ +2.2% / yr
Average rent
£2,431/mo
↑ +3.8% / yr
National rank
#89 of 316
Who rents here
Census 2021, 130,820 households
28.7% of homes in Southwark are private rentals.
Average rent by size
1 bedroom
£1,843/mo
↑ +4% / yr
2 bedrooms
£2,306/mo
↑ +3.8% / yr
3 bedrooms
£2,683/mo
↑ +3.9% / yr
4+ bedrooms
£3,544/mo
↑ +3.7% / yr
Average advertised rent by number of bedrooms. ONS Price Index of Private Rents (2026-07).
Council tax bands (2026-27)
Band A
£1,311
Band B
£1,530
Band C
£1,748
Band D
£1,967
Band E
£2,404
Band F
£2,841
Band G
£3,278
Band H
£3,934
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.
Work out the yield on a specific property
Pre-filled with the Southwark average. Change them for a real property.
That is right on the Southwark average of 5%. Add costs for a net estimate.
How it compares
Areas with a similar yield
Common questions
Is Southwark a good place to buy to let?
It is around the middle for rental income, at a 5% average gross yield. Whether it works depends on the specific property, so always run the actual numbers.
Are rents rising in Southwark?
Over the past year, average rents in Southwark rose 3.8% and average prices rose 2.2% (HM Land Registry and ONS, to 2026-07).
Is there rental demand in Southwark?
Rent movement is the best free proxy for tenant demand, and average rents in Southwark rose 3.8% 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, 28.7% of Southwark's 130,820 households rented privately (39.7% social rented, 28.9% owner occupied).
What is the average rent for a 1, 2 or 3 bedroom property in Southwark?
As of 2026-07, average monthly rents in Southwark by property size are £1,843 for a 1 bedroom property, £2,306 for a 2 bedroom property, £2,683 for a 3 bedroom property, £3,544 for a 4 or more bedroom property (ONS). The all-size average is £2,431 a month.
How much is council tax in Southwark?
In 2026-27, the average Band D council tax in Southwark is £1,967 a year including police and other precepts. Bills scale with the property's band: from £1,311 for Band A up to £3,934 for Band H. 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. Southwark is at 5%.
Gross yield = annual rent divided by average price. Average price: HM Land Registry UK HPI (01/06/2026). Average rent: ONS Price Index of Private Rents (2026-07). Local-authority averages across all property types, indicative only. Contains public sector information licensed under the Open Government Licence v3.0. Not investment advice.