Mad for property in Manchester
Manchester keeps its focus long term to develop a city that will outlast and outsmart Covid, with both the sales and lettings sectors surpassing most other UK centres.
Manchester has been stealing a lot of the headlines in the past few weeks but while the city’s Mayor spectacularly falls out with the Prime Minister, another revolution is brewing in the background – this time in property and not politics.
The green shoots of growth were evident in March 2020, when a new report by JLL, looking at the UK’s property prospects between now and the end of 2024, revealed Manchester is forecasted to have both the highest sales price growth (17.1%) and rental uplift (16.5%) of any UK city over the next five years.
Already the forecast is bearing fruit. House prices in the city are on the up, quantified by Zoopla in its latest House Price Index as a rise of 4.2% between September 2019 and September 2020. Manchester was one of only eight cities tracked by the portal to have annual house price growth of more than 3% - only beaten by Nottingham in terms of price appreciation.
The buoyancy is replicated in rentals, with Manchester claiming the top two spots in CIA Landlord’s list of cities that rank best for buy-to-let profitability, based on new data. In pole position was Salford in Greater Manchester. It scored a profitability rating of 6.27 out of 10 thanks to a below average house price (£173,311) coupled with high rental incomes (an average £1,052 per month).
Manchester city itself took second spot, with a profitability score of 6.26 out of 10. Although the average property cost is marginally more expensive than Salford (£193,681), the average rental income (£1,141 per month) works in the city’s favour.
The momentum in Manchester is undiminished, with an £1.4bn regeneration scheme underway in the city centre, running alongside The Great Manchester Spatial Framework and the Clean Air Plan - both of which are flexing to accommodate current and post-pandemic priorities. A new £23 million park, the first central green area in the city for 100 years, will grant thousands better access to open space. It’s an amenity that will be joined by 320,000 square feet of commercial space, new restaurants, bars, shops and a hotel, and in the region of 1,500 new homes in the area.
Part of the ambitious plan is Viadux – a 40-storey apartment complex to be built in one of Manchester’s most prestigious quarters. The scheme follows an increasingly popular lifestyle template seen in London developments, with the promise of a gym, yoga studio and cinema with tiered seating. Viadux’s developer, Salboy, has already started to sell units to UK and overseas investors, mirroring JLL’s prediction that Manchester’s prospects in four years time, when Viadux’s construction is scheduled for completion, will remain attractive.
If your focus is on Manchester – as an estate agency, an investor or a home mover – you can explore the city’s property stock from wherever you are. We have hundreds of Viewbers working in Greater Manchester – book a local professional to accompany a viewing or undertake an impartial property visit.