Manchester deemed the number 1 UK city to be a landlord
Forget football and rock and roll – it’s all about property in the UK’s second city, Manchester.
Everyone is talking about the northern giant’s unrelenting buy to let market with new properties up for grabs every day!
According to comparison site Gocompare’s latest data, Manchester has the UK’s highest average rental yield at 5.55%. Taking into account various factors including average property prices, housing supply, rental yields and price growth, the leading Northern Powerhouse destination outperformed rival southern regions in recently released statistics.
In Oxford, house prices were recorded as high but returns on property investment were low. This trend follows a similar pattern to London, where investors are dropping just as quickly as the rents. The shift to northern locations like Manchester puts it at number 1 for places to be a landlord in the UK, and there’s more than one reason why investment is rushing into its property market with so much force.
There’s just something about the city centre life that is pulling in so many young tenants in the 21stcentury, but Manchester in particular seems to be welcoming more residents than ever. Regeneration is sweeping across its streets in the form of sophisticated commercial developments alongside innovative residential towers, to create a mixed-use hub with a buzz about town.
Manchester’s private rented sector is the second-biggest outside of London, and a recent area of interest helping to bump up Manchester’s popularity is Ancoats – presenting an investment opportunity in a more inner-city location. The city centre can be reached in just a short walk, but the peaceful neighbourhood with flowing canals, local stores and old mill buildings is the next place to invest in London’s sister city.
Regeneration has only recently started to take hold in this hipster hotspot where rental yields are expected to accelerate in the coming years. One look at Ancoats’ skyline, and you can admire its painted skyline which is splattered with cranes and scaffolding as the local council attempt to combat the rising demand for residential accommodation.
Additionally, MediaCityUK in Salford has put Manchester on the map for prominence in the digital and media sector. Salford has become a sought-after living location as tenants wish to lap up the exciting employment opportunities on their doorstep. Property investment experts like RWinvest sift through the upcoming buy to let opportunities on the market to put investors in touch with the best performing properties in the city, and they have found destinations such as Salford to be driving the Manchester average house price rise which is forecast to expand at a rate exceeding that of any other UK city.
Castlefield is yet another core district that is contributing to Manchester’s success as a property investment leader, and it’s even managing to attract a large proportion of elderly tenants! Due to its ability to balance city centre amenities with a quieter and chilled out lifestyle, older residents are uniting with young professionals and students who are also flocking to the area where prices went up by 19% last year.
Manchester is a target for overseas investors too, with its huge student population gaining thousands of international undergraduates every year who stay on to find work in this prosperous, global city. Chinese investors specifically are opting for properties in Chinatown, which attract plenty of foreign students whilst making for a more personal investment choice.
Likened to the booming market in London’s Shoreditch a few years ago, Manchester is going from strength to strength and tempts investors from all over the world into its circle of investment. If the current data is anything to go off, Manchester will continue to compete as a global-leader for property investment into the future, with a stress on the lucrative buy to let industry.