Updated monthly · rents for August 2026 · North East

Rental Yields in County Durham

The average private rent in County Durham was £650 a month in August 2026, and the average property price was £140,447 in July 2026. That gives a gross rental yield of 5.6%, which ranks 24th of 316 local authorities in England and Wales and 5th of 12 in the North East.

Take off a letting agent, repairs and one empty month a year and the net yield is about 4.2%, before mortgage costs and tax. In the year to August 2026 the average rent rose 6.1%, and in the year to July 2026 the average price rose 4.7%. Rents have moved ahead of prices, which pushes gross yields up.

Official data: ONS average rents (August 2026) and HM Land Registry average prices (July 2026), for the whole local authority. All yields are before tax.

Gross yield

5.6%

#24 of 316 in England & Wales

Net yield

4.2%

After letting, repairs and voids

Average rent

£650

+6.1% in 12 months

Average price

£140,447

+4.7% in 12 months

What a typical County Durham rental makes after costs

Gross yield ignores costs. Here is a property at County Durham's average price and rent, run through the RealYield calculator with the same assumptions Deal Check uses. Costs take the yield from 5.6% to 4.2%, a gap of 1.4 percentage points. Rent covers these costs and the mortgage interest up to a rate of about 5.6%.

Annual figures for a property at the average price and rent in County Durham
A year at £140,447 and £650 pcm£ a year
Rent for 12 months£7,800
Less one empty month-£650
Less letting agent (12% of rent collected)-£858
Less repairs (5% of rent collected)-£358
Net income before mortgage (net yield 4.2%)£5,935
Less mortgage interest (£105,335 at 4.5%, interest only)-£4,740
Cashflow before tax£1,194
Less income tax (higher-rate taxpayer, owned personally, Section 24)-£1,426
Cashflow after tax-£231

That works out at £100 a month before tax and a loss of £19 a month after tax, on a £35,112 deposit (25%) before stamp duty and buying costs.

Source: RealYield calculator engine on the ONS average rent (August 2026) and HM Land Registry average price (July 2026). Assumptions: 25% deposit, 4.5% interest-only mortgage, 12% letting agent, 5% of rent on repairs, one empty month a year, no service charge or ground rent. Tax is illustrative: the property profit taxed at the higher rate with the 20% mortgage interest credit, ignoring your other income and allowances. An average, not a valuation of any property.

How County Durham compares with the North East

County Durham's gross yield ranks 24th of 316 local authorities in England and Wales and 5th of 12 in the North East. In the North East, gross yields run from 3.9% in Northumberland to 7.0% in Newcastle upon Tyne.

County Durham against regional and national medians
MeasureCounty DurhamNorth East medianEngland and Wales median
Gross yield5.6%5.4%4.4%
Net yield (after letting, repairs, voids)4.2%4.1%3.4%
Average rent (pcm)£650£703£1,022
Average price£140,447£157,769£288,085
Rent change, 12 months+6.1%+5.9%+3.9%
Price change, 12 months+4.7%+4.5%+1.9%

Medians of the local authority averages (12 in the North East, 316 in England and Wales), not weighted by population. Rents: ONS Price Index of Private Rents, August 2026. Prices and price change: HM Land Registry UK House Price Index, July 2026. Net yields use the same assumptions as the typical property above and the Net Yield Index. All before tax.

Average rent in County Durham by bedrooms

Property sizeAverage rent (pcm, August 2026)
1 bedroom£456
2 bedrooms£579
3 bedrooms£693
4+ bedrooms£999

Source: ONS Price Index of Private Rents, August 2026. A 2-bedroom rent against the average flat price gives a flat yield of 8.8%, gross.

Average house price in County Durham by property type

Property typeAverage price (July 2026)
Detached£239,098
Semi-detached£141,233
Terraced£116,586
Flat / maisonette£78,510

Areas to compare with County Durham

Local authorities in the North East with the closest gross yields to County Durham.

County Durham rental yield questions

What is the average rental yield in County Durham?

The average gross rental yield in County Durham is 5.6%, from an average rent of £650 a month (ONS, August 2026) and an average price of £140,447 (HM Land Registry, July 2026). It ranks 24th of 316 local authorities in England and Wales and 5th of 12 in the North East. After a 12% letting agent fee, 5% of rent on repairs and one empty month a year, the net yield is about 4.2%. Both figures are before mortgage costs and tax.

What is the average rent in County Durham?

The average private rent in County Durham was £650 per calendar month in August 2026, according to the ONS Price Index of Private Rents. A 2-bedroom home averaged £579 a month. Over the previous 12 months the average rent rose 6.1%, against a median change of +3.9% across England and Wales.

What is the average house price in County Durham?

The average property price in County Durham was £140,447 in July 2026, according to the HM Land Registry UK House Price Index. The average flat or maisonette cost £78,510. Over the previous 12 months the average price rose 4.7%.

How do rental yields in County Durham compare with the rest of the North East?

County Durham's gross yield of 5.6% is 0.2 points above the median of 5.4% for the 12 local authorities in the North East, and 1.2 points above the England and Wales median of 4.4%. Across the region, gross yields run from 3.9% in Northumberland to 7.0% in Newcastle upon Tyne. These are gross yields, before costs and tax.

Why is the net yield in County Durham lower than the gross yield?

Gross yield counts every month's rent and no costs. On a property at County Durham's average price and rent, one empty month a year costs £650 in lost rent, letting agent fees at 12% cost £858 and repairs at 5% of rent cost £358. That takes the yield from 5.6% to about 4.2%, a gap of 1.4 percentage points. Both yields are before mortgage costs and tax, which reduce the return further, as would any service charge or ground rent.

Is County Durham good for buy-to-let?

RealYield does not rate areas as good or bad investments, because the answer depends on the property, the price paid and your own circumstances. On the published averages, County Durham's gross yield ranks 24th of 316 local authorities in England and Wales and 5th of 12 in the North East. With a 25% deposit and a 4.5% interest-only mortgage, a property at the average price and rent would make about £100 a month before tax after letting, repair and void costs. Rent stops covering those costs and the interest at a mortgage rate of about 5.6%. Individual properties vary widely, so test a specific deal before relying on an area average.

Rents: ONS Price Index of Private Rents, August 2026. Prices: contains HM Land Registry data © Crown copyright and database right 2026, July 2026. Both used under the Open Government Licence v3.0. Averages describe the whole local authority and individual properties vary widely. Net yields and cashflow are RealYield calculations on those averages with the assumptions stated above.

This page is for informational purposes only and does not constitute financial or investment advice. Yields shown are before tax. Always verify current figures and seek independent professional advice before making investment decisions.