Manchester Property Investment | The Economic Powerhouse

Regeneration Reshaping the City

Manchester is a vital player in the North, and the extensive levels of regeneration schemes have elevated the city to its status, showcasing the most robust economy and property market outside of the Capital.

In the 1980s, the city witnessed a phenomenal post-industrial decline, and the population and number of full-time jobs plunged. During this time, the North and the South divide became exceedingly noticeable. The growth of London was unprecedented, one that many thought would leave the North far behind. Nevertheless, in more recent times, the North, primarily the city of Manchester, has pushed the city to the forefront. In turn, this has caused the North and South divide to narrow.

In recent years, as life in the South grows remarkably expensive, much of the population is escaping to the North. However, the mounting prices in the southern region are not the only factors triggering people to relocate. Most notably, it is the increasing desirability of the Northern region. In 2009, only 1% of the people leaving London moved to the North. Nonetheless, this has now inflated to 13%. Manchester is a much more affordable location, especially for working professionals and businesses.

Manchester’s Robust Rental Market

Manchester’s property market is thriving with numerous people moving to the area, propelling rental demand to levels higher than predicted. The metropolitan population of Manchester has hit 2,770,000! The population will only increase, boosting housing demand and the need for quality rental accommodation. Therefore, the elevated levels of housing demand will maintain the current supply and demand imbalance. In summary, this is positive news for landlords and investors, as increased competition in the market will boost Manchester property prices and rents.

Current trends show much of the younger population is migrating to Manchester because the city offers a parallel lifestyle to London, but without the weighty price tag. Manchester boasts an array of job opportunities and high-quality accommodation. Furthermore, the reputable University of Manchester has one of the best graduate retention rates in the country at 51%. In addition, the university attracts many overseas students, and the university population is one of the largest in Europe.

Rental demand in the vibrant city has also hit a record high. As a result of inflating demand and further competition, rental yields have risen tremendously, showing no signs of slowing down. Manchester’s property market is highly desirable and profitable. However, because of the supply-demand imbalance, renters have few choices. Although the inflating prices may be frustrating to tenants, they are alluring for property investors.