Why these two towns deserve a closer look
Every year I speak with hundreds of investors who focus on the usual suspects and miss the quiet performers sitting just a short train ride away. Dewsbury and Selby are two of those places. They do not shout. They simply rent, relet and keep paying their way. If you are weighing up where to place capital for reliable income in 2026, these two micro markets deserve a calm, detailed assessment. To make it practical, I will share what I have seen first hand as an editor who tours sites, reads leases and sits across the table from providers. And if you want a partner to orchestrate the entire process, from sourcing to lease commencement, you can start with an overview of services at Emaan Investments and use this guide as your brief.
A client story that changed how I look at “secondary” towns
Two winters ago I walked a modest three bed semi with a Yorkshire couple who had saved for years and wanted income without the drama. They were torn between a shiny city centre flat and a sturdier house in a smaller town. We met the provider’s rep in a community café ten minutes from the property. Nothing fancy. Just locals, chatty staff and a bulletin board full of practical notices. The rep pulled out a lease outline that was cleaner than most I see in big city packages. Term, indexation, repair obligations, inspection regime. No hype. No dancing around the tough clauses. The couple chose the house. Twelve months later the rent had arrived every single month, inspections were routine, and the house felt like part of the street. That experience cemented a simple truth for me – if the fundamentals line up, a so called secondary town can be a primary performer.
Dewsbury – commuter logic, mixed stock and provider demand
Dewsbury sits in that sweet spot where commute times are sensible, prices are still accessible and tenant or provider demand has depth. Rail links to Leeds and Huddersfield, road access via the M62 and M1 corridors, and a town centre with shops and services that are useful rather than showy. Housing stock is varied – Victorian and Edwardian terraces, interwar semis, post war ex local authority houses and some more recent infill. For social housing strategies, this variety matters. It allows you to match provider specifications with layouts that actually work. In my walk throughs, three bed semis and larger two bed terraces frequently present the best blend of value and adaptability. Bedrooms with sensible proportions, decent garden space for families and straightforward routes to install compliant fire doors, safe electrics and modern boilers. When the property starts strong, refurb is about standards, not heroics.
Selby – steady employment anchors and a practical road network
Selby’s advantage is quieter but no less compelling. It draws stability from energy, logistics and manufacturing employment, alongside retail and public sector roles. The A19 and A63 give practical access to York, Leeds and the wider region, and the rail line keeps commuting options credible. Stock is again mixed, though I see more post war semis and bungalows cropping up in off market conversations. Those bungalows are interesting for supported living models where single storey layouts reduce adaptation costs. Investors often underestimate how much future maintenance and service delivery improve when your layout suits the care pathway. Providers notice it. They pay attention to how easily staff can operate the property, not just how it photographs on completion day.
Price entry and yield realism – how the numbers usually pencil
Headlines are seductive, but you buy a street, not a skyline. Across the past 18 months I have seen purchase prices in both towns remain comfortably below major city equivalents for like for like houses, with Dewsbury often carrying a small premium where commuter demand is strongest and Selby offering excellent value where layouts are family friendly. On completed and leased social housing projects, gross yields in the high sixes to mid sevens have been repeatable when you buy sensibly, refurb to provider standard and secure a strong covenant. Conventional ASTs can also work, typically producing mid sixes on steady family stock with well controlled capex. Your net outcome will hinge on three things – your entry price, how cleanly the refurb delivers, and whether your management or provider relationship is genuinely tight. Get those three right and the city label matters less than most people think.
Population, households and the demand picture – what actually drives lets
Demand is not a slogan, it is a queue. In Dewsbury, households are a mix of commuters, long term locals and families who value proximity to schools and extended family networks. In Selby, steady employment anchors, good primary and secondary schooling and strong regional connectivity keep households rooted. Private rents across Yorkshire rose materially through 2023 and 2024 as supply lagged new household formation and mortgage costs kept would be buyers in the rental market. Letting agents I trust in both towns report brisk interest for tidy three bed houses priced sensibly. For social housing, waiting lists tell their own story, and provider feedback in both localities has remained consistent – if the home is compliant, warm and well presented, placing service users is not the constraint.
The lease is the product – clauses that decide outcomes
If you pursue social housing investment, the lease sits above everything. You want clarity on term length, indexation mechanics, repair obligations and break clauses. Many investors focus on rent level and term and skim the rest. That is a mistake. Repair obligations are a quiet lever that will define your day to day experience and your long run net yield. If the provider retains internal repairs, your maintenance exposure drops but your upfront refurb and compliance burden rises. If repairs sit with you, price that into your model and insist on a robust inspection schedule so small issues never become big ones. In Dewsbury and Selby, I have seen both models work well provided the house starts with sound bones and the schedule of works is executed with discipline.
Refurb and compliance – the boring edge that protects value
Refurbishment is where investors either secure margin or surrender it. The most successful projects I review have crystal clear scopes, staged sign offs and unglamorous attention to details that matter – certified electrics, gas safety, properly fitted fire doors, handrails as needed, anti scald devices, lighting levels, robust flooring and simple, durable finishes. In family ASTs, spend where tenants touch and see – kitchens, bathrooms, flooring, heating. In social housing, spend where the provider audits – compliance and durability, then presentation. I remind readers that EPC improvements are not just for headlines. Better insulation, efficient boilers and draft proofing lower bills and make homes easier to manage. In towns with older stock, practical EPC upgrades are a lever that increases tenant satisfaction and reduces churn.
Transport and service access – reducing friction for daily life
Both towns work because getting from A to B is straightforward. In Dewsbury, buses and rail services feed into Leeds and Huddersfield, while local roads keep school runs sane. In Selby, the A19 ties together a web of employment and education nodes, and the rail link keeps York within comfortable reach. For investors, this translates into a simple rule – buy walking distance to useful services where possible. Post office, GP surgery, supermarket, reliable bus stops. Homes that allow families and support staff to function smoothly are homes that stay occupied. It is not glamorous, it is just true.
Who the tenant really is – and why that matters to cash flow
In a standard AST, your tenant is the household. In social housing, your effective tenant is the provider’s covenant and the lease they sign. In Dewsbury and Selby, the providers active in supported living and general needs vary, but the operational pattern is similar – they want houses that are easy to service, cost effective to maintain and located where community integration is natural. When those boxes are ticked, your rent line tends to look calm. In ASTs, families who find a home they like in a location that works for school and work will often stay longer than average. That longer tenancy is a quiet driver of superior net outcomes because each avoided relet saves you fees, minor refurb and void days.
A field note on bungalows and why they keep cropping up
I am often asked why so many supported living case studies feature bungalows. The answer is simple. Single storey living reduces adaptation complexity and operating friction. In Selby, I have seen bungalows let and relet quickly within provider networks because they fit a wide range of needs. They do not always show the highest paper yield on acquisition day, but over five years the calm management experience and low downtime can put them ahead of flashier assets. In Dewsbury, larger ground floor layouts in semis can serve a similar role when configured properly. Always walk the layout with the end user in mind.
Practical pitfalls to avoid – learned the hard way
There are a few recurring mistakes I see. Chasing headline yields without scrutinising the lease or management structure. Underpricing refurb and discovering halfway through that compliance standards are higher than budgeted. Ignoring micro location and buying the wrong side of a main road where tenant profiles and service access change sharply. Cutting corners on EPC work only to face higher turnover later. Treat these towns like you would any serious investment – with respect for detail and a bias for process over improvisation.
How an end to end partner changes your risk profile
The investors who sleep best at night tend to share one trait – they delegate process to specialists and keep decisions. A good partner will map your goals, source appropriately, pressure test the numbers, manage refurb, secure the provider or tenant, and run the asset with proactive reporting. In smaller towns, local relationships magnify this advantage. Knowing which contractors finish on time, which streets providers prefer, which layouts trigger fewer callouts. That local edge is difficult to replicate from a spreadsheet.
Deal shapes I like in each town
In Dewsbury, I am drawn to three bed semis with honest layouts near reliable bus routes and schools, plus larger terraces where upstairs bedrooms have proper dimensions and decent natural light. In Selby, tidy post war semis and bungalows near arterial routes keep appearing in my notes. In both places, garages and utility spaces can be valuable for storage and service access. Avoid awkward loft conversions with compromised head height and layouts that force furniture into strange corners. Your tenant or provider will thank you later.
Numbers that matter more than most people think
Two numbers deserve more attention than they usually receive. The first is your all in cost per usable bedroom after refurb. It keeps you honest about value. The second is your realistic net yield after management, routine maintenance and a sensible allowance for compliance and occasional capex. Investors often win or lose in the quiet margin between gross and net. In both towns, I would rather bank a consistent mid six net on a house that behaves well than chase an eight on paper that relies on perfect conditions. Calm cash flow compounds.
One checklist to compare Dewsbury and Selby fairly
It is easy to get lost in anecdotes, so here is the only checklist I use when comparing the two on a specific purchase.
- Lease strength or AST quality – who is paying you, on what terms, and how reliably
- Micro location – walking access to everyday services and bus or rail
- Layout suitability – bedrooms with real space, bathrooms that work, service access
- Refurb scope and inspection plan – signed off stages, EPC uplift, compliance nailed
- Management model – who handles what, response times, reporting cadence
- Net yield after realism – include maintenance, compliance and a void allowance
- Exit routes – refinance or sale options without relying on perfect market timing
Where Dewsbury might edge it for you
If your plan blends flexibility with value, Dewsbury’s commuter logic and varied stock give you room to manoeuvre. Sensibly priced houses that take refurbishment well, a choice of strategies from ASTs to provider leases, and a tenant base that understands the appeal of being close to bigger employment centres without paying big city prices. For investors who like options, it often edges the decision.
Where Selby can quietly win the race
If you want stability, straightforward layouts and a local economy that does not swing wildly with the news cycle, Selby is persuasive. Properties that are easy to live in and easy to service tend to generate calmer management notes. For supported living in particular, suitable bungalows and well proportioned semis in Selby have produced outcomes that look almost boring on paper and feel excellent in real life. Boring is underrated when your goal is dependable income.
How to act if you like both – the phased approach
You do not have to choose forever on day one. Many of the portfolios I rate most highly started with a purchase in one town, then added a balancing asset in the other six to twelve months later. One long lease for predictability, one AST for flexibility. Or one family let first, then a supported living home once the right property and provider alignment appears. Phasing builds confidence and creates learning you can reuse on the next purchase.
What a partner should deliver in these micro markets
If you engage a partner, hold them to clear standards. A documented sourcing and due diligence pack. Transparent refurb scopes and costs. Lease heads of terms explained in plain English. Provider references and examples of passed audits. Example reporting from live managed assets. A plan for EPC improvement that fits the property and the lease. In my experience, partners who can demonstrate these items in Dewsbury and Selby are the ones who will shoulder the weight so your time is protected. If you want to see what that looks like in practice and compare it with your current support, review the scope of social housing investment in Dewsbury and use it as a benchmark for any provider promising you end to end delivery.
Stats that help set expectations
Let’s ground this in a few context points. Private rents across the UK rose strongly through 2023 and 2024, with Yorkshire and the Humber posting meaningful year on year gains as supply lagged demand, according to ONS. Mortgage costs stabilised through late 2024 into 2025 after sharp rises the previous year, and while affordability remains tighter than historic norms, transaction activity in value regions like West and North Yorkshire has proved resilient. Several large employers across the broader Leeds and York spheres continue to support commuting patterns that feed Dewsbury and Selby rental demand. You do not need double digit rent inflation to make these towns work. You need properly specified homes priced for the local wage base and managed with care.
Finance and structure – prepare before you source
Speak to your accountant and broker early. Lenders have distinct views on long leases versus ASTs, and criteria evolve. Your SPV setup, document pack and proof of funds should be ready before you reserve anything. In my experience, being finance prepared in smaller towns wins the confidence of agents and providers quickly because they are tired of inquiries that vanish when it is time to instruct legals.
Risk management – what to model before you say yes
Model interest rate sensitivities, a maintenance buffer and a realistic void allowance for ASTs even if your local agent says they have tenants waiting. If you are pursuing a lease, model scenarios for indexation caps or provider service level changes, however unlikely they feel. Honest modelling creates calm ownership because you have already looked around corners.
Final thoughts – overlooked does not mean underpowered
Dewsbury and Selby are not loud markets. They simply deliver when you match the right property with the right strategy and run a tidy process. If you like the idea of dependable income, thoughtful refurbishment standards and communities that appreciate well managed homes, these towns will reward your attention. Choose calm streets, solid bones and partners who show their workings. If you are ready to turn this into your next move, explore how we structure and support projects in Selby and the surrounding area on the dedicated page for social housing investment in Selby and then set your brief for the next twelve months.