Speaking to Property Investor Today, Mark Burns, the managing director of property investors Hopwood House, described Manchester as “on the up”. He also recommended investors who usually focus on London to keep a close eye on the Manchester market as he names Manchester a buy-to-let hotspot.
The rental market in Manchester has witnessed consistent growth thanks to increased numbers of young people moving to the area. This is mainly thanks to Regional universities attracting high numbers of student. The city’s regeneration and emergence as a ‘northern capital’ is also drawing numerous young professionals from both outside of the area and ensuring those who studied in the city remain for its employment opportunities.
Manchester has long been noted for its high rental growth and is consistently in the top ten cities for high yields. Such yields have reached almost 9% year-on-year. For investors interested in the city, Mark lists the top areas they should consider.
High Rental Yields
For high rental yields Mark recommends “areas such as Pendleton, Claremont, Langworthy and Salford [which top] the charts at 8.84%”. Monthly rents in this area average at £1,034. This is due to their location near to Manchester city centre and the University of Salford. Further highlighting why Manchester is a buy-to-let hotspot.
8% yields are also present in Moss Side, Rusholme and Followfield.
Investments in Manchester City Centre
Mark describes that Manchester city centre as a great opportunity for capital growth due to the “high number of people and a shortage of property [that] keeps rental demand high.” Mark goes on to say that “a growing population and the construction of nearly 20,000 new homes around the city mean the potential for investment will continue to grow for some time to come.”
We appreciate many of Mark’s sentiments which is precisely why we are working in Manchester. Working with developers, we can secure and make available property to investors. In turn, many go on to let, to secure this demand. For more information check out our Manchester buy-to-let area.