When investing in new or off-plan property, identifying developments with strong rental demand is key to long-term success. At Portico Invest, we carefully analyse every opportunity to ensure it’s backed by robust local demand, consistent yields, and growth potential — not just good marketing.
Here are three tell-tale signs that a development is likely to attract strong rental interest, along with how we use these indicators to guide our clients’ decisions.
1. High rental yields and strong local comparables
One of the most reliable signs of demand is strong rental performance in comparable developments nearby. If existing landlords are already achieving solid returns in the same area, that’s a clear signal the local rental market is healthy.
At Portico Invest, we actively benchmark against these local yields. We also see standout examples like Church Walk, where short-term yields are reported to reach up to 20%, reflecting the appetite for quality, well-located rental properties.
When you see established evidence of high yields and low vacancy rates in neighbouring areas, it gives you confidence that your chosen development is well-positioned to perform.
2. Excellent transport links and ongoing regeneration
Developments near major transport connections, good schools, and regeneration projects tend to experience sustained tenant demand. People want convenience — easy commutes, walkable amenities, and access to modern infrastructure — and these factors directly translate into higher rental interest and reduced voids.
This is a key part of how we assess developments at Portico Invest. Our due diligence focuses on locations that benefit from existing or planned transport upgrades and regeneration programmes, ensuring our clients are investing in areas with long-term growth prospects.
For instance, when selecting new build apartments in Leicester, Liverpool, and Cleveleys, we highlight their proximity to major transport hubs and employment zones — both strong indicators of continued rental appeal. We also align with the principles we outline in our own guidance on building profitable portfolios: focus on areas with good transport links, strong local economies, and consistent tenant demand.
If a development sits within the path of regeneration or near major infrastructure improvements, that’s a clear sign the local rental market will stay competitive.
3. Early buyer and tenant interest before completion
Strong pre-launch sales or early rental enquiries often point to high future demand. When a large percentage of units are reserved shortly after launch, or local agents begin registering tenant interest before completion, it reflects real confidence in the market.
At Portico Invest, we monitor early investor take-up as part of our assessment process. Developments that show rapid absorption rates — where units sell out or let quickly — typically indicate a robust underlying tenant base. This kind of early traction allows our investors to enter projects where demand is already proven rather than speculative.
By combining this insight with on-the-ground market research, we can introduce clients to developments that not only look strong on paper but are backed by measurable rental appetite.
The takeaway for investors
When evaluating an investment opportunity, keep these three indicators front of mind:
| Signal | What to Look For | Why It Matters |
|---|---|---|
| Strong local yields | Comparable areas achieving 5%+ rental returns | Confirms healthy tenant demand |
| Transport & regeneration | Access to stations, amenities, or new infrastructure | Boosts rental appeal and long-term growth |
| Early market interest | Fast unit reservations and pre-completion enquiries | Demonstrates confidence and reduces vacancy risk |
At Portico Invest, every development we present is backed by detailed market data and first-hand analysis, helping our clients invest with clarity and confidence.
If you’d like to learn more about our latest developments and how we identify areas with strong rental demand, speak to one of our investment advisors today. – Contact our Team Here