Even though international students still clamour for places in the hallowed cloisters of Oxford and Cambridge, it has been long since recognized that universities in other parts of the UK also offer high academic standards and excellent post-graduation job prospects.
What’s more, they can do so at a more affordable cost and in an environment which many young adults can find rather more attractive than that of the Oxbridge towns. Put this fact together with the fact that investment property in Manchester and its surrounding areas is significantly more affordable than equivalent property in the south of England and you get great yields for landlords.
From commercial property to sharer-flats, there’s something for every investor
Anyone who’s been to university will probably remember that student residences are great places for students to spend at least their first year, since there is a huge social aspect to them, which is perfect for young adults living on their own for the first time, especially if they have moved to a new area.
Student residences are also interesting from an investment perspective, since they are classed as commercial property and therefore come under a different set of rules than residential property. This can make them an attractive prospect for investors who have had enough of navigating the conventional buy-to-let market, at least for the time being.
Some students love residence life and choose to stay in residences for the duration of their study. Others, however, opt for houses in multiple occupations (HMOs) and/or sharer flats, both of which bring further opportunities for investors.
As always, location is key to successful investment
Students usually want to be close to their universities; hence investors targeting the student market should focus on areas which are either within walking distance of the main academic buildings or, at the very least, have good transport links.
The M14 postcode fits the bill nicely for students at the University of Manchester and hence M14 is the location of the two main student-property hotspots in Manchester itself, namely Moss Side and Fallowfield.
Those who remember the Manchester of the 1970s and 1980s may have done a double-take at the mention of Moss Side. For those too young to remember, Moss Side used to be notorious as one of the most dangerous parts of the UK, let alone Manchester and in 1981 was heavily involved in what has been called “the summer of riots”.
As the old saying goes, “that was then and this is now”. As a response to the riots, the UK government not only invested heavily in regenerated the areas, but also worked hard to address the genuine grievances which lay behind the riots, with the result that Moss Side has been able to move forward and it is now safe as well as affordable.
Another good option would be the M6 postcode. This is not only very convenient to the University of Salford, but also has great transport links into the centre of Manchester, meaning that it can also attract students from the University of Manchester who prefer to live in a slightly quieter environment.
For more information on student property investment, please contact Hopwood House.