The property boom across Manchester is well and truly underway and shows no sign of abating. Strongly regarded as the UK’s second city, Manchester is experiencing one of its most prosperous times in its history, with forecasts of further growth for the city that is seemingly unstoppable. Regeneration initiatives are dramatically transforming the landscape and skylines as new developments are springing up continuously, as the city of Manchester competes of a global stage and aims to significantly raise its reputation. Each scheme throughout Greater Manchester pulls the city further away from its southern counterparts, creating a viable competitor to London.
Manchester is often regarded as the ‘gateway of the north’ and is one of the biggest cities at the heart of the Northern Powerhouse. The city is experiencing immense benefits due to being part of a super economy with neighbouring cities. With a combined worth of almost £350 billion, Manchester is an enticing place to live, study and carry out business.
Manchester and its nearby areas have witnessed a huge surge in the amount of properties under development or construction. Approximately 15,000 new developments are underway with a significant amount waiting the pipeline. One of the most notable drivers behind the introduction of so much redevelopment is the strong desire for city centre living, the relentless student numbers demanding adequate housing and high retention rates from those that choose to reside in the city after the completion of their studies. Around 60% of students who leave Manchester for higher education elsewhere are returning to reap the benefits of the thriving economy, abundance of opportunities and affordable cost of living.
For buy to let investors looking to venture into the Manchester property scene, or aiming to diversify their existing portfolio, now is the perfect time to reap the benefits of the flourishing city of Manchester. Predictions suggest that Manchester is to experience dramatic house price growth over the next five years. Between 2017 and 2021 house prices are expected to grow by over 28%. The annual average projected house price is expected to be almost double the national average. Manchester is still set to experience a growth of 4.2% whereas the rest of the UK is rising slower at 2.4%, highlighting that Manchester is currently one of the most viable cities for fruitful property investment.
Not only will Manchester experience house price growth, but as of now until 2020, rent rates are expected to spike, with a growth of 3.5%. Manchester is one of the top performing postcodes across the country for securing high rental returns for those who choose to invest in the city’s property with the average rental yield around 7% to 8%. Low entry prices for property met with high returns have caught the attention of savvy investors who recognise the unparalleled potential of the city. Property investment companies like RW Invest are recognising that the demand for their properties is increasingly, leaving hundreds of units a week being successfully sold to property investors creating a profitable return on investment.