Buying a property has always been all about location and choosing the right spot can be crucial in getting the best investment for your money. Manchester is now one of the UK’s top property hotspots in spite of the COVID-19 pandemic, all thanks to its significant role in the Northern Powerhouse and the substantial investment the city’s seen, both in the centre and throughout the suburbs.
Manchester has long been one of the strongest property markets in the north, but its resilient construction sector has meant that is now a secure place to invest your money in bricks and mortar. The city is vibrant. and fast becoming a desirable place for young professionals due to its strong jobs market, extensive levels of development and in the future, its integration with HS2.
The Manchester housing market
Manchester has seen one of the busiest housing markets over the last year, with house prices rising by a massive 6% year-on-year, higher than the national average of 4.3%. Even throughout the pandemic there has been strong demand for houses in Manchester as people leave London behind in search of better value further north, and this has led to a surprising amount of activity in the housing market. This current demand for property will also be fuelled by the stamp duty holiday that allowed significant savings.
As the economy begins to re-open as restrictions end, it is likely that there will be increased confidence, and those who had put moves on hold now put their property on the market.
For those looking to buy in Manchester, they can expect to pay an average property price of £213,000 compared with the £320,000 average across England and Wales. A Manchester detached house could cost as much as £371,000 whilst a semi-detached property comes in at £223,000. Detached properties are seeing the sharpest rise in prices currently as wages rise and more families locate to the city. Flats in the area are worth around £172,000 and terraced properties fetch in the region of £153,000.
Traditionally, house prices in Greater Manchester have stayed well below the national average, but they are experiencing a positive upwards trend. They also sit comfortably beneath nearby Cheshire and Derbyshire, which further adds to the city’s appeal.
The Manchester appeal
Manchester has a great many things going for it, but its tough construction sector has proved attractive. Despite the closure of many building sites during the lockdowns, an impressive 35 residential schemes were still completed during 2020. There are now in excess of 12,000 residential units under construction with yet more development in this area expected in the next few years.
It wasn’t just residential construction that saw a boom in Manchester either, as nearly 700,000 square feet of office space was also completed last year, with another 10 schemes in the planning stages. Whilst many have now turned to working from home, Manchester has shown that there is still a strong demand for office spaces.
All of this means that the jobs market in Manchester is a strong one, with many big names relocating up to the area from down south. There has also been significant growth in the tech and start-up sector, providing young people with a fresh pool of career opportunities.
Whilst the Manchester property market is a fluid one, it still offers great value for money for most investors. Whether you are looking for a buy to let investment or somewhere to make your home, this city offers huge promise in terms of its job opportunities, cultural enrichment and profitability in the properties that you can buy.
Simon Hardingham, Director of Manchester-based estate agents, Indlu, is the brains behind this article. The company specialises both residential and commercial property, including lettings and buy-to-let across Manchester.
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