If you want to learn how to find the best area to invest in property, this 60-minute guide will walk you through the exact steps to do it with confidence. Whether you’re comparing ROI or carrying out property market analysis UK wide, this simple process will help you focus fast and make informed decisions. You’ll learn how to choose a property investment location that aligns with your goals, define your property investment strategy, and calculate ROI in property investing before you buy. From uncovering HMO investment opportunities in the UK and improving your serviced accommodation returns to spotting the best places to invest in property UK wide, this blog has you covered. And if you’re searching for property investment hotspots 2025, you’ll discover how to identify emerging areas with strong growth potential and consistent demand drivers.

The first step in learning how to find the best area to invest in property is to define your strategy. The right area depends entirely on how you plan to invest.

• Single lets: Steady income with low involvement.

• HMOs: Higher returns and more management responsibility.

• Serviced accommodation: Potentially strong profits if local demand is consistent.

Your property investment strategy determines which areas are most profitable for you, helping you narrow down your property market analysis UK.

Before you select a location, decide who your ideal tenant is. This step helps you understand how to choose a property investment location that matches their needs.

• Professionals prefer modern homes near transport links.

• Key workers need affordable rooms near hospitals or large employers.

• Students want properties close to universities and nightlife.

• Contractors seek short-term lets near infrastructure projects.

• Tourists choose serviced accommodation near attractions or city centres.

Once you know your tenant type, you’ll find it easier to target the best places to invest in property UK investors often overlook.

Spend 10–15 minutes researching demand in your shortlisted towns and cities. Look for reliable demand drivers that create long-term rental or guest appeal:

• Major employers, hospitals, and universities

• Business parks and regeneration projects

• Transport hubs like stations and motorways

• Tourist attractions and conference venues

As part of your property market analysis UK research, keep an eye on emerging property investment hotspots 2025. Infrastructure improvements and new developments often lead to higher property values and stronger returns. These factors will help you pinpoint the best places to invest in property UK investors should be watching over the coming year.

When you combine these insights with solid data and ROI analysis, you’ll gain a clear picture of the best places to invest in property UK right now and the ones likely to grow in the future.

Once you’ve identified a few promising areas, verify that people actually want to live or stay there.

• For HMO investment UK, use SpareRoom to check how many listings exist, what rents are being achieved, and what the standard of existing accommodation looks like. Poor quality competition is an opportunity if you can offer something better.

• For serviced accommodation returns, review AirDNA or booking sites to see occupancy rates and average nightly rates. Ideally, aim to break even around 50% occupancy and make profit at 70% or higher.

This data gives you confidence that people will actually rent your property once it’s ready.

Once you’ve gathered demand data, run your ROI calculations to decide where to buy.

Comparing ROI across different areas will also help you identify property investment hotspots 2025, where returns are projected to rise as demand increases.

ROI = (Annual Profit ÷ Money Left In) × 100

This ROI calculation is a key part of any property market analysis UK investors should perform before buying.

Typical examples:

• Single lets: 5–7% ROI across much of the UK, lower in London, higher in the North.

• HMOs: Often double or triple the ROI of single lets.

• Serviced accommodation: Variable, but can achieve double-digit ROI when managed well.

Running ROI in property investing side by side helps you see which locations truly deliver value.

The best area won’t work if the property type doesn’t fit your strategy.

• Houses generally perform better than flats because they avoid service charges and lease restrictions.

• Avoid paying new-build premiums that limit capital growth.

• For HMOs, check that properties meet room-size standards and conversion potential.

• For serviced accommodation, focus on homes near transport, employers, or tourist hubs.

Choosing the right property type strengthens your strategy and maximises returns.

A strong local team helps you act fast and invest with confidence.

• Letting agents confirm rental values and tenant demand.

• Serviced accommodation managers provide occupancy insights and manage guests.

• Local tradespeople ensure refurbishment projects run smoothly.

You can meet trusted investors and service providers at your nearest property investors network (pin) meeting. It’s the quickest way to find the best area to invest in property and build your power team.

Now that you’ve done your research, shortlist one or two promising areas. Set up alerts on Rightmove, Zoopla, and other portals, then book viewings.

If you’re investing remotely, confirm who will handle property management and maintenance. Many successful investors build portfolios in cities they’ve never lived in because they followed a clear process and built the right team.

When reviewing your shortlist, consider how regeneration plans and infrastructure improvements could turn your chosen towns into future property investment hotspots 2025.

Avoid these common errors to protect your time and capital:

• Picking an area first and forcing your strategy to fit

• Focusing only on cheap purchase prices

• Ignoring local licensing or planning rules

• Buying flats with high service charges

• Paying new-build premiums that reduce ROI

Avoiding these pitfalls ensures you choose strong, sustainable areas for long-term success.

1. Define your property investment strategy
2. Identify your ideal tenant
3. Research demand drivers
4. Analyse competition and demand
5. Calculate ROI in property investing
6. Choose the right property type
7. Build your local team
8. Shortlist your top areas
9. Avoid common mistakes
10. Take action with confidence

By following these ten steps, you’ll know exactly how to choose a property investment location that matches your goals and strategy. This process will also help you identify both current and future property investment hotspots 2025 and beyond, giving you a clear advantage when deciding where to invest next.

If you want help finding your investment area and building a reliable local team, join your nearest property investors network (pin) meeting. You’ll meet active investors, deal sourcers and letting agents who can help you take your next step with confidence. If it’s your first meeting, use the voucher code BLOG to get your first meeting completely free.

Founded in 2003 by Simon Zutshi, property investors network (pin) is the UK’s longest-running and pioneering property training and networking organisation. We cater for all levels of investors from beginners learning how to start in property to experienced professionals looking to scale. With monthly property networking meetings across the UK, online workshops and hands-on coaching programmes, pin has supported thousands of people to build knowledge, confidence and profitable portfolios. Unlike estate agents or deal sellers, pin focuses purely on UK property training and education, providing a safe and inspiring community for anyone serious about property investing.