2021 is set to provide property investors with many great opportunities, and many of those lay within Manchester.
Gone are the days where investors typically focused on London and its neighbouring towns and cities. Northern cities such as Manchester are ripe with investment opportunities.
Jason Harris-Cohen, director at Landlord Buyers believes that “the market will remain steady throughout the year, and unless there is increased supply, prices may continue to rise. I estimate that property prices will rise 5% this year, with stronger growth in Northern regions as opposed to the South and London.”
Manchester- A Growing City
Manchester is rapidly evolving into an investment hotspot. The city is home to a growing population that saw an increase of 16.7% in the ten years leading up to 2016. This is an indicator that people are gravitating towards the city. This population growth has propelled Manchester into position as the second-largest city region economically. And, of course, it also means an increase in demand for domestic and commercial properties.
In the eyes of the expert financial analysts, they have predicted that the next five years will see an increase in residential property prices of just under 30%. This is good news for investors who plan to buy and resell at a later date, as it means the chances of making a profit are increased.
For property investors who intend to let out their properties, the prospects are also quite promising. The increase in activity has triggered an increase in demand for rental properties. Additionally rent prices in Manchester have been increasing. Between 2015 and 2020, the rate of increase for rental properties has been as high as 24% in some areas. Additionally, Manchester’s landlords have been reaping returns ranging from 5-6%, which is impressive considering that the rate in London is 2-4%.
Growth in Manchester’s Available Property Supply
Property developers have been busy in Manchester, no doubt having recognised the need for a greater volume of residential and commercial properties. One example of this flurry of activities is the real estate development called Viadux, which offers unique opportunities for prospective property investors. Viadux, is strategically located in the midst of the city’s skyscraper cluster and comprises one and two-bedroom apartments.
Investors in this development benefit from an acquisition and rental process that is handled by a team of experts. Ideal for property investors who wish to be hands-off.
Whether you are buying to resell, rent or lease, Manchester should be front and centre on your radar as the city is poised to dominate the UK’s real estate market in just a few years.
