Why is Manchester a Good Place to Be a Landlord?
Posted on 1st July 2024 at 14:24
Manchester, the beating heart of Northern England, is a city rich in history, culture, and opportunity. Over recent years, it has become a highly attractive destination for landlords seeking profitable and stress-free property investments. Whether you’re a seasoned landlord or new to the market, Manchester offers a plethora of reasons to consider it for your next venture, especially with the availability of guaranteed rent schemes that promise zero hassle. In this blog, we delve into why Manchester is an excellent place to be a landlord, supported by current statistics and market insights.
Booming Economy and Job Market
Manchester’s economy is thriving, positioning it as a significant player not just in the North but across the UK. The city is known for its strong presence in industries such as finance, media, digital, and technology. According to recent data, Manchester's economy grew by 2.4% in 2023, outpacing the national average. The city's Gross Value Added (GVA) stands at approximately £62 billion, highlighting its economic resilience and potential for future growth.
This robust economic landscape has translated into a flourishing job market. With a population of over 2.8 million in the Greater Manchester area, the city boasts one of the highest employment rates in the country. As a landlord, this means a steady demand for rental properties from professionals and young families drawn to the city for its employment opportunities.
Rising Property Values
Property Manchester has seen a consistent rise in property values, making it an attractive investment destination. In the past year alone, house prices in Manchester have increased by 7.3%, with the average property price now standing at £247,000. This upward trend is expected to continue, driven by ongoing regeneration projects and high demand for housing.
Investing in Manchester's property market not only promises capital appreciation but also ensures a steady rental income. The city’s rental yields are among the highest in the UK, averaging between 5-7%, depending on the location and property type. Areas such as Ancoats, Northern Quarter, and Salford Quays are particularly popular, offering excellent returns on investment.
High Rental Demand
Manchester is home to several prestigious universities, including the University of Manchester and Manchester Metropolitan University, which attract a large student population. Additionally, the city's vibrant culture, nightlife, and amenities make it a popular choice for young professionals. This diverse demographic ensures a high and consistent demand for rental properties.
According to recent figures, the average rent in Manchester has increased by 4.5% over the past year, with properties being let within days of being listed. The demand is particularly high for one and two-bedroom apartments, making them a lucrative option for landlords.
Infrastructure and Connectivity
Manchester’s excellent infrastructure and connectivity further enhance its appeal. The city is well-connected by road, rail, and air, with Manchester Airport being the third busiest in the UK. The extensive public transport network, including the Metrolink tram system, makes commuting easy and convenient for residents.
Significant investment in infrastructure projects, such as the High-Speed 2 (HS2) rail link, is set to improve connectivity even further, reducing travel times to London and other major cities. This development is likely to boost property values and rental demand, presenting an excellent opportunity for landlords.
Property Management Services near Manchester
Managing rental properties can be a daunting task, but in Manchester, you have access to professional property management services that make the process seamless. These services offer comprehensive management solutions, including tenant sourcing, rent collection, maintenance, and legal compliance. This allows landlords to enjoy a stress-free investment experience, knowing their properties are in capable hands.
For landlords seeking a guaranteed rent scheme, Manchester offers several reputable companies that provide this service. Guaranteed Rent Manchester schemes ensure you receive a fixed rental income every month, regardless of whether the property is tenanted. This eliminates the risk of void periods and provides financial stability.
Regeneration Projects
Manchester is undergoing significant regeneration, transforming various parts of the city into modern, attractive areas for living and working. Projects such as the Northern Gateway, which promises 15,000 new homes, and the Mayfield development, a £1.4 billion investment creating a new urban neighbourhood, are set to enhance the city’s appeal further.
These regeneration efforts not only boost property values but also improve the quality of life for residents, making Manchester a desirable place to live. As a landlord, investing in these emerging areas can yield substantial returns as they become increasingly sought after.
Vibrant Cultural Scene
Manchester is renowned for its rich cultural heritage, with a vibrant arts, music, and sports scene. The city is home to world-class museums, galleries, theatres, and music venues, attracting millions of visitors each year. The presence of iconic sports teams like Manchester United and Manchester City also adds to the city's allure.
This cultural vibrancy enhances the appeal of living in Manchester, ensuring a steady influx of tenants who wish to be part of this dynamic environment. As a landlord, you can capitalize on this by investing in properties located in culturally rich areas, ensuring high occupancy rates and attractive rental yields.
Educational Institutions
Manchester's educational institutions are a significant draw for both domestic and international students. The University of Manchester, ranked among the top universities globally, attracts students from around the world. This constant influx of students creates a robust demand for rental properties, particularly around the university campuses.
Purpose-built student accommodation and houses in multiple occupations (HMOs) are particularly popular, offering excellent rental yields. As a landlord, investing in properties close to educational institutions can provide a reliable and profitable income stream.
Conclusion
Manchester’s thriving economy, rising property values, high rental demand, excellent infrastructure, and vibrant cultural scene make it an ideal location for landlords. The availability of professional property management services near Manchester and guaranteed rent schemes further enhance the appeal, offering a stress-free investment experience.
If you’re looking to invest in property, Manchester presents a compelling case. With its strong market fundamentals and promising future, the city offers numerous opportunities for landlords to achieve attractive returns. Consider exploring guaranteed rent schemes to ensure a steady income and enjoy the benefits of being a landlord in this dynamic and prosperous city.
Schedule a call with us today to see if your proeprty qualifies for our Guaranteed Rent Scheme.
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