According to Landlord Resource, which analysed Zoopla data, Oxford recorded an average gross rental yield of just 5 per cent.
Saif Derzi, property advisor at Landlord Resource, said: “There’s lots of information out there when it comes to picking the right location for a buy-to-let property, and it can be overwhelming knowing who to trust.
“City-level rankings are too coarse to buy on.
“You need to be honing in on exact locations, and the yield gaps between different city locations and local areas can be extreme.”
Cambridge topped the list with the lowest yield of 4.7 per cent, followed by Oxford at 5 per cent and London at 5.1 per cent.