Top 5 buy-to-let investment hotspots in Cardiff for 2025

Cardiff is a city on the rise. From its fast-growing economy and expanding student population to a stream of regeneration projects and a strong jobs market, it’s no wonder more landlords and investors are setting their sights on the Welsh capital.

Whether you’re a seasoned buy-to-let investor or exploring your first property purchase, knowing where to focus your search can make a world of difference. Based on the latest data from Rightmove, Zoopla and industry experts, here are our top five Cardiff locations to watch in 2025.

 

Cathays and Roath (CF24) – High-yield student appeal

Just a short walk from Cardiff University and the city centre, Cathays and Roath have long been favourites with students and young professionals. Packed with cafes, pubs and independent shops, these areas buzz with energy and offer consistently high rental demand.

Key stats:

  • Average property price: £251,000
  • Average monthly rent: £1,713
  • Rental yield: 8.7%

If you’re looking for reliable, year-round tenants and a strong return on investment, CF24 is a smart place to start. Just remember: properties in this area go fast, so it pays to act quickly.

 

Cardiff City Centre and Cardiff Bay (CF10) – Professionals’ playground

As the commercial heart of the city, CF10 covers everything from historic streets and shopping districts to the scenic waterfront of Cardiff Bay. With a mix of modern flats and Victorian conversions, the area is hugely popular with professionals and commuters.

Key stats:

  • Average property price: £189,000
  • Average monthly rent: £1,232
  • Rental yield: 7.8%

Cardiff Bay, meanwhile, offers contemporary apartments, waterside views, and an ever-growing collection of restaurants and bars. For investors, it combines high tenant demand with long-term growth potential.

 

Rhiwbina – Suburban comfort with long-term potential

Rhiwbina is one of Cardiff’s most sought-after residential suburbs. Known for its leafy streets, quality schools and strong sense of community, it attracts families, retirees and professionals alike.

Key stats:

  • Average property price: £369,500

Although yields are typically lower than more central areas, the stability and potential for capital growth make Rhiwbina a solid, future-proof investment. For landlords looking for less turnover and high-quality tenants, this area ticks the boxes.

 

Heath – Popular with professionals and families

Just north of the city centre, Heath is best known for its close proximity to the University Hospital of Wales, as well as its large green spaces and family-friendly streets.

Heath properties tend to be larger, semi-detached or detached homes, and the area is particularly popular with medical professionals and commuters.

Why invest here?

  • Stable tenant base
  • High-quality rental market
  • Reliable long-term income

For investors looking for stability and long-term tenancies, Heath offers a balanced, low-risk opportunity.

 

Why Cardiff?

Cardiff’s property market has consistently outperformed other UK cities in terms of rental yields and price growth. According to recent data, the average house price in Cardiff rose by 5.2% over the past year, outpacing many regional averages.

The city’s economy continues to expand, driven by public sector investment, a growing tech sector and major infrastructure developments like the South Wales Metro. With a student population of over 30,000 and a thriving job market, rental demand remains high across most areas of the city.

 

Tips for buy-to-let success in Cardiff

  • Research local demand: Areas with strong transport links, proximity to universities or hospitals, and good schools tend to perform best.
  • Consider tenant types: Students, professionals, families and hospital workers all have different needs. Tailor your property to match.
  • Stay up to date: Regulations around rental properties are always changing. Work with a local letting expert to stay compliant and profitable.

 

Why choose Martin & Co Cardiff?

At Martin & Co Cardiff, we know the city like the back of our hand. Whether you’re buying, letting or selling, our local team is here to support you every step of the way. From free property valuations to tailored landlord services, we help you make smart, confident decisions.

Cardiff’s rental market is rich with potential, and with the right guidance, it’s never been easier to take the next step.

Speak to us today – and let’s make your property investment plans a reality.

Stay in the loop

Subscribe to our newsletter to receive regular property updates.

Do you have a property to Sell or Let?

Book a free sales or lettings valuation with your local agent

May also interest you...

Are you ready to sell or let your property?

Book a free sales or lettings valuation with your local agent, and they will use their local knowledge and expertise to give you the most accurate sales or lettings valuation.