Why Hong Kong Investors Choose Doncaster for HMO Property

September 4, 2025

A clear shift north as Manchester and Liverpool become oversaturated

Hong Kong real estate investors have long eyed the UK’s northern cities for rental returns. But in markets such as Manchester and Liverpool, competition is now fierce, entry prices are high and yields are diluted by saturated supply. Savvy investors are therefore pivoting to Doncaster — and South Yorkshire more widely — where lower prices, strong rental demand and higher returns combine to make HMO investment far more compelling.

Doncaster and South Yorkshire: affordability with capital growth

The average house price in Doncaster is around £166,000–£168,000, compared to a UK average hovering near £269,000 in mid-2025.

Over the past five years, property values have risen by more than 20% and are currently appreciating at approximately 7% per annum, outpacing national norms.

Typical net rental yields on HMO properties in Doncaster reach 9.5–10.5%, versus often less than 5% in southern England or in crowded northern hotspots.

A strong local economy and connectivity

  • Population: Doncaster city proper is home to about 87,000 people, with a built-up area population near 160,000 and a wider borough population around 308,000.

  • Employment & business: The city is a logistics and distribution hub, hosting major operations for Amazon, IKEA, Tesco and others, linked via Doncaster iPort and the rail freight network. Ongoing regeneration and investment projects such as the Civic Quarter and urban masterplans are driving economic momentum.

  • Transport links: Trains from Doncaster to London King’s Cross take just 1 hour 39 minutes, and the city sits on the East Coast Main Line, with direct services to Leeds, York, Newcastle, Glasgow, Manchester and more. Road connectivity is excellent via the A1(M), M18, M1 and key link roads such as the A638, facilitating both labour mobility and tenant demand.

 

Foot Forward’s global, end-to-end HMO service

Though Hong Kong investors may be half a world away, Foot Forward offers a fully hands-free, end-to-end HMO investment solution — from sourcing and acquisition, through renovation, licensing, tenanting and ongoing management. For over twenty years, the firm has developed and operated HMOs for clients across the globe. With strong yields, rising capital values and professional local management, investors can enjoy true passive income in sterling without having to travel or manage directly.

Why Doncaster vs Manchester/Liverpool for Hong Kong investors

  • Lower entry price per unit enables scale. What might buy one mid-tier unit in Liverpool could buy multiple in Doncaster.

  • Higher net yields of around 9–10% make ROI and cash flow far more attractive.

  • Stronger capital growth forecasts across South Yorkshire, with values expected to rise by around 20% by 2028, support equity gains.

  • Less competition, meaning better deals, faster transactions and easier licensing compliance.

  • Foot Forward’s trusted delivery model gives reassurance to remote investors.

 

Brief snapshot: why Doncaster stands out

Factor Summary
Population & demand ~87,000 in city; ~160,000 in built-up area; ~308,000 in borough — steady rental demand

 

Affordability Avg price ~£166,000–£168,000 vs ~£269,000 UK avg

 

Capital growth ~20% gain last 5 years; ~7% p.a.; forecasts suggest ~20% by 2028

 

Rental yields Net yield ~9.5–10.5% on HMOs

 

Connectivity Direct rail to London ~1h 39m; major road links A1(M)/M18/M1

 

Economy & jobs Logistics hub, regeneration projects, rising employment

 

Hands-free service Foot Forward provides full development & management for remote investors

 

In summary

Hong Kong investors are increasingly choosing Doncaster and South Yorkshire over highly competitive markets like Manchester or Liverpool. The combination of low capital outlay, strong rental yields, robust capital growth, and excellent transport and economic fundamentals make Doncaster a standout for HMO investment.

Through Foot Forward’s two-decade experience offering fully managed, turnkey HMOs to overseas clients, distance is no barrier. For investors seeking secure, rewarding, passive UK property income with real long-term equity growth, Doncaster is now firmly on the radar.

Foot Forward continues to see a growing pipeline of Hong Kong-based investors requesting Doncaster HMO opportunities. If you are looking to diversify into UK property from abroad with proven, high-yielding, professionally managed HMOs, Doncaster may be exactly what you are searching for.