Fabrik Invest reports significant surge in demand for Manchester buy-to-let properties
- 70% of sales in last quarter have been in Manchester
- Manchester ranked as top investment location by 2020 buy-to-let city tracker
- North West rated as fastest growing region for productivity in 2020 and for property prices for next 5 years
Property Investment company Fabrik Invest has reported a surge in demand for buy-to-let property in Manchester over the past three months. During that time, a staggering 70% of the company’s sales were made in the city.
“We’ve sold around £8 million worth of property in Manchester in the past quarter and demand continues to be strong. Manchester is ticking all of investors’ boxes right now, whether they’re domestic investors or those putting their money into UK property from overseas.”
Dale Anderson, Managing Director, Fabrik Invest
Why is Manchester such a favourite with investors right now? The city’s property market, obviously, plays a key role in this. According to Zoopla’s June 2021 UK House Price Index, Manchester has enjoyed the third highest price rises in the UK over the past year, with an average increase in value of 7.4% (only Liverpool and Belfast have seen higher rises).
Savills, meanwhile, is forecasting a 28.0% rise in property prices across the North West over the five years to 2025 – a total that no other UK region surpasses.
When it comes to overall property investment potential, Manchester wins outright, with Aldermore’s buy-to-let city tracker, published in late 2020, ranking the city as the best location in the UK for landlords to invest in. The rankings were based on numerous factors, from average rent to local void levels.
Further supporting the case for investment is economic credentials of the North West – and Manchester in particular. According to data from the Office for National Statistics, labour productivity in the North West grew by 4.6% in 2020 (compared to 2019). This is the fastest rate of growth in the UK and well above the national average of 0.4%.
In addition, foreign direct investment (FDI) is pouring into the region, with only Greater London and Scotland attracting more FDI in 2020 than the North West. Manchester, meanwhile, is the UK’s third best performing city when it comes to attracting FDI.
“Manchester is a leading light when it comes to property investment right now. With so much going for it, including strong demand for rental homes and a relatively low entry point – the average property there costs £188,900, compared with £488,600 in London – the city has enduring appeal for investors.”
Matt Harper-Penman, Group Director, Fabrik Invest
Homes in key Manchester locations are, naturally, the most popular with investors. Fabrik Invest is offering one development that’s nearing completion – Manchester Waters – which provides waterfront living just six minutes from the city centre. Michigan Towers, meanwhile, is just getting underway at the heart of the £1 billion MediaCityUK expansion. Premium locations such as these provide precisely what investors are seeking in terms of long-term rental home demand.
For more information, please contact Fabrik Invest on 020 8175 9891 or enquiries@fabrikinvest.com or visit http://www.fabrikinvest.com