The city of Manchester is recognised across the UK and the world as a stand-out region with bags of culture, talent and opportunities. A major part of the Northern Powerhouse, Manchester is attracting billions of pounds in investment. Flourishing like never before, property investors are picking up on the appealing prospects of purchasing a property in the city centre and its neighbouring zones. Although residential property is a great market to tackle in 2018, student developments are attracting a lot of investors due to the rising demand for student accommodation in the area.
The Student Magnet
Manchester has a number of credible universities on offer, with the University of Manchester ranked the 8th best in a table of universities for 2018, alongside Manchester Metropolitan University and Salford University. The combined total number of students amounts to approximately 100,000, branding it one of the largest student populations in Europe.
It’s not only the specialist educational facilities on offer that attract students to the area, but the city as a whole that draws them in and inspires them to take up a higher-education journey in one of the north’s most diverse and creative locations.
The original city of industry and catalyst of the industrial revolution has blossomed and diversified with other sectors including science and technology, health, retail, education and finance receiving billions of pounds of investment and expanding into the 21st century.
Students can benefit from the ultimate living experience in a city that enhances its heritage with new revolutions. The music and arts scene is booming and a unique culture of food and drink dominates city centre streets with cat cafes where you can relax alongside feline friends and restaurants where you pay for your time and not your coffee.
Tenant demand has risen steadily in recent years and is now flourishing more than ever. Students have admitted that it is a struggle to find student living that meets their desires, and are prepared to pay more for higher-quality apartments in convenient city settings.
The extortionate number of students is met with an undersupply of adequate accommodation. Some apartments are receiving up to 4 offers at time, with others being successfully let after just one hour after advertisement in a reflection of the fast-paced nature of this everchanging industry.
This is all great news for investors looking to embark on a student venture in the city of Manchester.
An Optimistic Future in Buy to Let Manchester Student Property
All of these elements collectively make Manchester a hotspot for student property investments. In addition to a secure tenant demand, buy to let student properties offer a hands-off investment, with experienced management teams overseeing day-to-day supervision of the development, its units, and its residents.
The average house price in Manchester is around £153,600, with the average gross annual yield reaching 6.7% – a very healthy return in terms of student property. As property prices rise in conjunction
with the continuous investment in regeneration projects, investors can expect strong potential for high capital appreciation in the near future.