Top 5 Reasons to Invest in Manchester

At Regency Invest, we aim to identify the best performing locations in the UK for property investment, with a focus on areas with a high rental demand, strong rental yields as well as capital growth prospects.

Manchester ticks all of these boxes and below we explore the top 5 reasons to invest in the city.

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1. High Property Price Growth

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Manchester has seen the highest capital growth over the past 12-months according to data from Hometrack of 6.5% and is set for continued growth.

It is expected to see continued growth as the North West of England property price growth is forecast at 28.8% over the next 5-years as it outpaces the UK market at 21.1%, which is why we focus our search for buy-to-let opportunities in cities such as Manchester.

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2.High Rental Returns
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Rental growth of 13.5% is forecast for Manchester over the next 5-years according to industry experts JLL.

3. Citywide Regeneration

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Manchester is undergoing large scale investment in regeneration as part of the Northern Powerhouse initiative, boosting its economy, attracting large businesses, which is in-turn increasing rental demand, rental growth and house prices.

Key regeneration programmes include:

• NOMA – the biggest development project in the whole of the North West of England with £800 million invested so far
• Spinningfields – £1.5 billion project designed to be Manchester’s “central business district” and is now home to  much of the city’s financial community, the “Canary Wharf of the North”
• St John’s – situated on the outskirts of Spinningfields £1 billion development, described as “Manchester’s newest city centre neighbourhood”
• MediaCityUK – located in Salford Quays in Greater Manchester, this former industrial hub is one of the biggest regeneration projects, redeveloped to create a vibrant, modern area that is home to some of the UK’s biggest media companies
• ‍HS2 – reducing the journey time to Manchester Piccadilly by 54-minutes, taking just 1 hour 11 minutes, which is expected support over 100,000 jobs

4. Strong Economy

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‍Greater Manchester is the third largest regional economy in the UK,comprising of key employers with annual Gross Value Added (GVA) of £66.4 billion. Manchester is one of the main players in the government’s Northern Powerhouse initiative, with regeneration, improved infrastructure and connectivity with London, providing a major boost to its economy.

Large companies have opened up offices, or, relocated to Manchester from the south to reduce costs and access Manchester’s talent pool, termed “North Shoring”, including BBC, Amazon, Freshfields, Microsoft, AstraZeneca, Siemens, Ericsson, Google, Kellogg’s, Barclays, Royal Bank of Scotland to name a few.

This has opened up huge employment opportunities for Manchester’s population, which has seen the fastest growth rates of jobs in the UK at 84% growth  (1998-2015),followed by Leeds, Birmingham and Liverpool (Centre for Cities).

Manchester is now home to MediaCityUK, the largest purpose-built media location in Europe,home to major broadcasters including the BBC and ITV. Manchester’s new central business district, Spinningfields, is known as the “Canary Wharf of the North”with big name tenants from the financial community, including PWC, Deloitte,HSBC and Barclays.

5. Student Population

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Manchester boasts the largest student population in Europe, being home to over 100,000 students across five universities attracting student from all over the world,creating demand for rental accommodation and adding to Manchester’s talent pool and population, with many students remaining in the city post graduation.

• University of Manchester – a Russell Group university with nearly 40,000 students
• Manchester Metropolitan University – with over 34,000 students it is one of the largest universities in the UK
• University of Salford – unique campus at MediaCityUK with 19,000 students
• University of Bolton  – ranking 1st for student satisfaction in the North West with 11,000 students
• University Academy 92 – brand new university co-founded by Lancaster University and the members of the Class of 92 football players

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The Best Buy to Let Opportunities in Manchester‍

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Now is the time to buy and capitalise from the high levels of price and rental growth forecast for Manchester.

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Wardour Point in Manchester offers 183-modern apartments on the doorstep of the city centre with some excellent incentives for early buyers, including up to 100% Stamp Duty Land Tax cover (excl. overseas surcharge), £1,000 legal fee contribution and 2% interest on deposited funds. Prices start from just £216,500 for a 2-bedroom apartment with returns of 6% and return on capital invested (ROCI) of up to 13% with deposits from £64,950.

‍Click here for further information.

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Ancoats Gardens in Manchester city centre offers 155-high end apartments on the edge of the NOMA, Manchester’s largest regeneration programme. Aimed at professionals seeking a sophisticated living experience, Ancoats Gardens features two private rooftop gardens, ground floor garden and boasts a two-storey gym, dry cleaning facilities, a large coffee roastery, shared social spaces/ lounge areas for residents and underground smart technology parking. Prices start from just £271,950 with 7% rental returns and return on capital invested (ROCI) of up to 12% with deposits from £54,390.

‍Click here for further information.

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X1 Michigan Towers in the heart of Salford Quays is an exciting new flagship development, set to change the Manchester skyline. This new development features four iconic towers, each with unique façades and stunning architectural design with a range of on-site amenities including a gymnasium and cinema room. Prices start from just £175,995 with 6% NET rental returns guaranteed for 2-years and return on capital invested (ROCI) of up to 12% with deposits from £43,999.

‍Click here for further information.

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