Where to Invest in Property in Manchester?
Posted by Salboy Ltd on 13th January 2022 -
Whether you’re a first-time buyer or a fully experienced property investor of new-build homes, Salboy is an experienced property development organisation that deals directly with the entire process from start to finish. So, if you’re looking for a fully qualified property development company, look no further than Salboy – we are an experienced team committed to delivering a project from start to finish through planning, building, delivering and selling residential homes that are modern and high quality.
Investors and buyers can buy directly from our developers, ensuring a hassle-free process that cuts out the need for any estate agency costs. Providing quality customer service in exciting cities, we will find the best property prices – better than the national average – and strong capital growth for you.
Manchester has seen massive renovation in recent years, which has enhanced its attractiveness among young professionals around the country, attracting them to the bustling city. When you consider the number of organisations that have been established in the city’s many areas, there is really no surprise as to why young professionals have flocked to Manchester and property demand has skyrocketed.
The North West city has far lower living costs than major cities such as London, with its average rent being around £1,124 per month, which is significantly lower than the average rental price for a property in England’s capital. Since salaries are not as disparate, it is therefore logical that individuals would prefer to live somewhere with cheaper living costs, where they can save a little more money at the end of each month – plus the properties are just as nice – if not better than those in London despite costing less.
So with the highly populated city constantly developing and attracting more and more individuals to state residence there, here is our guide on where to invest in property in Manchester.
Salford is a contemporary city located in Greater Manchester, right next to Manchester city centre; in fact, you can walk into Manchester’s city centre from Salford within just five minutes. Being just a short walk from the city centre is a massive pull factor for home seekers and young professionals who are looking to state residence somewhere. Living in the city centre can be really costly and you could end up paying more money for a smaller and less convenient property – so paying less for a more convenient property in Salford and having Manchester’s centre on your doorstep seems like a much more viable option for homeowners. Investing in Salford property is a wise move as individuals will see it as an alternative to the pricier areas of the region’s city centre.
Despite its proximity to Manchester, Salford is not quite as developed as Manchester itself. However, it does offer a lot of development potential as there is plenty of opportunity for improvement, and there might just be a lot of long-term potential and benefits of investing in this area of Greater Manchester. It’s unsurprising that young professionals prefer to live near their workplace, with so many high-profile tenants around – Salford actually saw the second-largest gain in population outside of Manchester city centre in recent years.
Salford not only offers a convenient location for transport and accessibility, but it has also undergone significant renovation, attracting major firms such as the spectacular MediaCityUK, a 200-acre multi-use complex that houses the BBC, ITV Granada, and the University of Salford’s media teaching department. Salford Quays has seen considerable house price growth since the construction of MediaCityUK began back in 2007. And with it being such a short distance from one of the UK’s most populated and developed city centres, it is open to a whole lot more potential for development and renovation opportunities, making it a wise investment.
Salford has a strong connection between Salford Quays and Manchester City Centre. Chapel Street is the major artillery road, and it has experienced a lot of growth over the years since the flats being constructed have proved popular with students due to their close proximity to the University of Salford – the area thrives on its student population. Average house prices stand at £214,523.
The land that surrounds Piccadilly Station and up to the boundary of Ancoats is probably one of Manchester’s most prominent redevelopment locations. Thanks to the Mayfield Depot development project, the prospect of the impending HS2 station, and several other development proposals within the area, Piccadilly is now seeing billions of pounds invested, making it something of an investment property goldmine.
Piccadilly stands as one of the most major development potentials in the country, with the opportunity to have a huge influence on the national economy and the city’s growth and development. Upon reconstruction, the projected new funding from Manchester City Council and major developments in the area is expected to provide up to 40,000 new jobs, 13,000 new houses, and 820,000 square metres of new commercial property construction.
In the near future, this is expected to be Manchester’s most desirable, up-and-coming neighbourhood, with demand for property from young professionals seeking to mark residence there already quite high, which will see an increase in home costs and rental rates as development continues and interest keeps growing. It’s certainly one of the smartest and potentially most beneficial investments to make in the Manchester area – perhaps even in the entire UK.
Castlefield is a previously industrial neighbourhood that houses stunning period-style houses and canal-side properties, and it is one of many areas that has seen major rehabilitation over the last couple of decades. Castlefield has been transformed into a picturesque area with an intriguing combination of waterside residences, canals and green spaces, and quirky bars and restaurants – as well as a pallet for small business opportunities and modern developments.
The relaxing neighbourhood of Castlefield is a popular destination among young professionals, families, and those who wish to be near the city centre but away from the constant hustle and bustle of city life. Adding to the peacefulness of Castlefield, no major or main roads pass through the area, making it a much quieter location, avoiding the noise pollution of the city centre – ideal for those who prefer a more peaceful day to day lifestyle. Blissful views mixed with a peaceful, community atmosphere, along with a variety of green spaces, which allow for calming walks and exercise: Castlefield certainly is the perfect area for a range of markets and individuals.
Castlefield house prices are slightly on the higher end of the property ladder when compared to other locations in Manchester, with the average property price of a home being £227,428. However, this has risen by a remarkable 14% from the previous year prior to this finding.
The area has certainly seen plenty of development over the years – in fact, it has undergone the biggest redevelopment in the city, with even more in the works. Elegant property paired with an appealing location will guarantee that property in the region is constantly in demand, especially if purchasers are employed in the area’s bustling IT companies and earn better wages. Property prices are only likely to rise higher if any more restoration initiatives are implemented, particularly if they are represented to the target market.
The Northern Quarter, situated centrally between Ancoats and Piccadilly, is a chic area with lively street art, trendy bars, small indie record shops, and boasts a bohemian atmosphere. It has undergone extensive rehabilitation over recent years and now houses vibrant music venues and local craft beer pubs and establishments. With great amounts of development over the years and in the pipeline, the vast majority of this neighbourhood is set to be thriving with rental demand, economic growth, and plenty of opportunities for buy-to-let investments – a convenient location for all property investors – regardless of their property portfolio.
Located within the Northern Quarter is NOMA, an £800 million, 20-acre mixed-use development scheme, which is notably the largest development project throughout the entire North West of England. When it was opened in 2013, its goal was to revitalise the city’s northern outskirts, which had previously been neglected by the council.
The NOMA development project encompasses several sectors and features, such as the renovation of Hanover Building, a Grade II listed historic building structure, which has been transformed into retail and commercial space, the creation of a new public area/space and the redevelopment of Federation House to accommodate digital firms. Hotel Indigo – a 14-story, £26 million circular hotel on Corporation Street – is a key component of the NOMA development project, which draws in tourists to the area.
As with any other location, any commercial and residential development within the area will not only boost population growth, it will also see a spike of interest and investment in the property market and rental yields as a result. And with the NOMA development in the area, it is a great property investment opportunity within Manchester to invest in as the housing market will likely see property value rise as more people including international students move to the area.
Also located within the Northern Quarter is The Press, a residential development not too far from the NOMA development site – just a short walk consisting of around 5 minutes to be precise. The Press is yet another renovation of a Grade II listed property in the region that was formerly a printing facility. Its distinct qualities add to its allure. Each unit in the building will have 18th-century elements accented with modest contemporary furnishings and fittings. It will consist of 66 living spaces with one, two, and three-bedroom homes available. Rates for a 250-year leasehold start at £196,000, which is ideal for Manchester.
What Manchester Offers You
Home to a huge variety of shopping destinations, bars and restaurants, entertainment complexes, two major football teams, parks, museums, Manchester Airport and a whole host of things to do, Manchester offers so many perks and benefits to its residents and young professionals – a real hotspot for culture and diversity.
If you are wanting to invest in property in Manchester, you will discover a variety of housing options accessible in the major UK city, regardless of which locations you invest in – from terraced houses to residential and buy-to-let properties. Manchester has experienced an increase in new home and property projects of various types over recent years to accommodate the rising city centre population. Affordable housing accompanies a huge housing demand.
Manchester prides itself as being a contemporary cosmopolitan city that offers a lively atmosphere, diverse culture and a great allure for young professionals, boasting one of the highest graduate retention rates in the UK, with 51.5% of students enjoying life in the city so much that they choose to stay there after their studies have finished. With the constant demand for job opportunities, great quality of life, huge demand for leisure space, attractive yields and job growth on a daily basis, there is no wonder why.
It suffices to say that living in the north is far more affordable than living in the south, which, according to Numbeo, the average rental cost for a central city flat in Manchester is 68.84% less than a similar flat in central London, while a three-bedroom house in central Manchester is a staggering 56.% less than in the costly capital of London.
As a whole, living in Manchester is just generally a lot more affordable than in its southern alliance, London, with a few exceptions. Transportation is also a lot more affordable in Manchester, with its monthly transportation passes more than half the price of London’s monthly passes. This is supported by the fact that a month’s Metrolink pass for Manchester’s two core areas costs £60.20, whilst a travelcard for London’s core zones costs £140.10, meaning that your average commute in Manchester would be substantially less expensive.
Taxis and gasoline costs are also significantly cheaper, while entertainment is substantially more affordable in the north-western city. Travel time to work is improving as the city improves its excellent transport links.
Fitness clubs and leisure facilities are, on average, a whopping 38.75% less costly, and the average price of a cinema ticket is a surprising 43.24% less pricey.
If you require any additional assistance or more guidance on where to invest in rental properties, buy-to-let properties, housing, and all other aspects of property investments within Manchester, download our investment guide.
For personalised advice and help, please do not hesitate to get in touch to speak to one of our property investment advisors.