Students generated an average yield to landlords of 6.45%, whilst young singles generate 6.22%, according to Paragon.
The business, which offers buy-to-let mortgages via the Paragon Mortgages and Mortgage Trust brands, used independent research from The Landlords Panel from BDRC Continental and found that retired people are also high up the table (6.16%), followed by white collar/professional workers and executive or company lets (both 6.13%).
Meanwhile, non-housing allowance benefit claimants generate the lowest yields at 5.78%, followed by young couples and manual workers (5.94%).
The average yield across the market currently stands at 6.2%.
Nigel Terrington , Paragon Group chief executive, said: “Yields are an important component of a landlord’s overall business plan because they give a good indication of the income that the property generates. Of course
