Have you chosen Manchester for your next property investment? You have unquestionably made a wise decision by selecting the capital of the North whose population is growing incessantly.
Students aren’t the only ones fascinated by the vibrant character of this UK metropolis. Business professionals and families are also overwhelmed by the charm of this dynamic city. Despite the increasing population, property investors have to be careful in the choice of residential areas. There are multiple attractive regions not too far from the centre such as Castlefield, Saddleworth, Moston, etc.
The following tips will help you enter the Manchester residential real estate market.
Choose the right area
In order to enter the Manchester residential real estate market, investors have to invest in properties located in the best neighbourhoods of the North’s capital. Instead of making an investment in the city centre, capitalists are advised to consider some of the most appealing residential areas, suitable for families and individuals not interested in living in the heart of the metropolis.
Castlefield, Moston, Ancoats, Saddleworth, and Worsley are known as attractive suburbs for residents, owing to their affordability and unique character. Investors looking for property investment in Manchester are advised to hire property consultants to provide them with educated advice. These experts offer valuable insight into the best areas for real estate investment based on the research they’ve been doing for years.
Castlefield is located in close proximity to the city centre, recognized for the residential buildings made with brick. This neighbourhood is ideal for young professionals because of the convenience it provides in view of commuting. After work, residents can relax in one of the waterfront bars and restaurants. Castlefield is a great area for real estate investments, as many young people opt for a permanent stay after spending some time working in the city.
Moston, on the other hand, is no more than three miles far from the centre of the metropolis. Residents enjoy a quiet area while being only half an hour away from the theatres, museums, art galleries, boutiques, and other amenities. Consequently, many families will be interested in renting a house or a flat in this region. The average house prices in Moston are more affordable when compared to those in Castlefield.
Ancoats is the perfect area to invest in when planning to rent apartments to young professionals. Despite being an old region, Ancoats is an incredibly vibrant part of Manchester. It’s plentiful in modern flats, fancy restaurants, trendy bars, street food stalls, street art, theatres, etc. Although apartment prices are a bit costlier in this area, the rental yield is incredibly high.
Saddleworth is an ideal suburb for individuals looking to escape the bustling city centre. It provides marvellous scenery for families and individuals fond of spending their weekends outdoors. Despite being forty-five minutes away from the centre of Manchester, Saddleworth is indeed worth the consideration of property investors. Click here to learn about the history, demography, geography, and culture of Saddleworth.
Real estate investors planning to rent out properties to families instead of students are advised to look for houses in Worsley. This area provides residents with a wide choice of schools, restaurants, pubs, transport links, parks, etc.
Consider the down payment
Property investors are required to pay large deposits so as to qualify for a mortgage, which is a minimum of twenty per cent of the entire amount. Lenders tend to be more rigorous when reviewing the applications of capitalists than those of traditional homebuyers.
Therefore, make sure you have enough finances to cover the down payment determined by the bank. The deposit amount will be calculated on the basis of your credit score and debt-to-income ratio.
Beware of the risks
When entering the residential property market, real estate investors should be aware of both the benefits and risks of making such a decision. For example, the local market economy is prone to changes, making the price of taxes increase. Also, there is a risk of potentially costly repairs and low rental yield. See this link, https://www.thebalancesmb.com/net-rental-yield-calculation-for-real-estate-investors-2866812, for a net rental yield calculation for real estate investors.
Conclusion
Manchester is the dream of every property investor.
Make it yours!