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Property investment stats for South Shields, North East

A complete guide to property investment in South Shields.

Last updated: 18 September 2025

Investment summary

South Shields offers investors a mix of steady capital growth and attractive rental returns. The area has seen capital values change by 3.8% over the past year and grow by 14.4% over three years, with an annualised rate of 4.6%. Affordability is a clear draw, as shown by a price-to-income ratio of 3.7 and a median price per square foot of £168 per sq ft. Rents remain accessible, with a rent-to-income ratio of 21.1%, making the area appealing to a broad tenant base.

Image of South Shields, North East

Key investment stats for South Shields

Median price per sq ft

£168 / sq ft

Average rental yield

6.8%

Capital growth (1y)

3.8%

Sales in past year

703

* Property stats calculated for last full calendar year (2024).

Live property stats in South Shields

Live prices in South Shields, North East

* Extreme prices clipped for legibility

Properties for sale

Median price

£170,000

25% of properties below...

£97,000

75% of properties below...

£259,972

Most expensive property

£1,200,000

Live listings

379

Median days on market

40

Should you invest in South Shields?

Opportunities

  • Investors can benefit from strong rental yields, with the average at 6.8% and the top-performing postcode district delivering 9.8%.
  • Liquidity is healthy, with properties spending just 40 days on the market and annual sales at 703.
  • The current median asking sale price for a two-bedroom flat is £85,000, while the median rent for the same is £675, supporting a solid entry point for buy-to-let investors.

Risks

  • The area sits in the 95th percentile for unemployment, suggesting local economic challenges could affect tenant stability and demand.
  • There is a high proportion of social rented housing (90th percentile), which may influence the private rental market's dynamics and returns.
  • A low owner-occupation rate (24th percentile) could limit future resale demand among owner-occupiers.

Outlook

Expect continued resilience in South Shields, with realistic prospects for both rental and capital growth. The combination of a £2,495 (the typical achieved discount) median discount and accessible asking prices — such as £220,000 for a three-bedroom house — offers room for negotiation and value-add strategies.

Rental demand should remain robust, supported by affordability and a sizable single occupier population in the 94th percentile. However, investors should keep an eye on the high unemployment rate and the dominance of social housing, as these factors could temper growth potential. Overall, South Shields presents a balanced opportunity for those seeking yield and steady appreciation without the froth of overheated markets.

Live properties in South Shields

Investment properties in South Shields, North East

2 bedroom apartment for sale
On market for 177 days

£125,000

2 bedroom apartment for sale

Grosvenor Road, Westoe, South Shiel...

Slow to sell properties in South Shields, North East
Slow to Sell
2 bedroom terraced house for sale
Reduced by 25%

£60,000 - Guide Price

2 bedroom terraced house for sale

Eglesfield Road, Laygate, South Shi...

Big price drop properties in South Shields, North East
Big Price Drop
8 bedroom terraced house for sale
High yield opportunity

£324,995 - Offers in Region of

8 bedroom terraced house for sale

Westoe Road, South Shields, Tyne an...

HMO properties in South Shields, North East
HMO
2 bedroom semi-detached bungalow for sale
748 sq ft

£170,000 - Offers Over

2 bedroom semi-detached bungalow for sale

Cook Close, South Shields

Properties with planning granted in South Shields, North East
Planning Granted
3 bedroom terraced house for sale
10% local yield

£215,000

3 bedroom terraced house for sale

Oxford Avenue, South Shields

High rental yield properties in South Shields, North East
High Rental Yield

Achieved vs asking prices

Key takeaway: Balanced market

Buyers have some negotiation leverage, but not much.

Headline stats

• Median discount: £2,495

• 1 in 4 properties sell at > £6,748 below asking

• 1 in 10 properties sell at > £11,796 below asking

In percentage terms:

• Median discount of 1.6%

• 25% of properties discounted by > 3.8%

• 10% of properties discounted by > 7.3%

Best places to invest in South Shields

Top postcodes for rental yield and (annualised) capital growth

Rank
Postcode
Yield
Capital growth
Median £/sq ft
1NE339.8%5.0%£142 / sq ft
2NE345.3%2.4%£175 / sq ft

Data sources

GeoGlider calculates property investment stats by blending official and proprietary datasets. Here's a quick overview of key sources and how we use them:

  • HM Land Registry: Property transaction and sold-price records for England & Wales used to calculate historical capital growth, price levels and comparables.

  • Office for National Statistics (ONS): Demographic and economic indicators for the UK, including Census 2021, supporting area profiling and market context.

  • Ordnance Survey: Authoritative UK geospatial data powering accurate boundaries, roads and terrain for mapping and spatial analysis.

  • GeoProp: Our proprietary AI pipeline that processes millions of property listings to extract rich features and live market signals.

  • Department for Levelling Up, Housing & Communities: Energy Performance Certificate (EPC) scores and property floor areas.

  • HM Revenue & Customs (HMRC): Household income and employment data to understand local affordability and economic conditions.

Data is updated continuously, matched across sources and rigorously validated.