Looking at the Manchester Housing Market and Property Forecast...
Manchester is in Greater Manchester and is a thriving centre of business in the North of England, with a growing economy and plenty of opportunities for young and older people to live, learn and flourish.
Currently, Manchester's population is just shy of 560,000, making it one of the largest cities in the UK.
Due to the industrial revolution, there is a breadth of property investment opportunities that attract people worldwide. The city's skyline is constantly changing, and homeowners have felt secure that they could reap a return on investment if they wished to sell their property.
But, with the cost of living crisis and recession, house prices are forecast to drop.
In this article, we will delve into how Manchester's property market came to be, how accurate these forecasts are, what you can expect the need to look like in the future and if it will stabilise.
For a good reason, Manchester has coined the reputation of being England's 'Second City' after London.
Overall the Manchester property market has increased dramatically over the last 28 years. Since January 1995, Manchester has seen one of the largest property booms in the North of England.
It is predicted that over the next few years, although there will be a dip in house sales, the overall increasing trend will continue to grow.
According to home.co.uk, the average sale of property in Manchester has grown 536% over the past 28 years — from £42,871 to £272,492.
The price for detached houses has increased by 481% since January 1995, landing at a staggering £440,582. Semi-detached housing average prices have grown by 575%, at £328,962.
Terraced housing has produced the most on average at 649%, from £31,794 to £238,050, and flats have grown by the least at 356% at £202,370.
Manchester has a robust local economy, partly due to its residents being able to afford higher rents, high employment rates, transport links, strong student market, historical significance, cultural diversity, investment, property developments and regeneration.
Historically Manchester has always been a thriving city in its own right; it is the gateway to the North and is connected by multiple trade routes throughout history.
Initially settled by the Romans in AD 79, the city has had almost 2000 years to grow into the city it is today. With the people of Manchester always looking forwards to their next glory and goals, it's one of the most important cultural centres in England.
The property market is so strong, partly because of its performance during the Industrial Revolution during the 19th Century. Nowadays, you can see the will and determination in the market through the increasing growth in rental yields, income and capital appreciation.
Capital appreciation, or the increase in the value of an asset, helps property investors and homeowners see a return on their investment.
Any area with a high capital appreciation will increase the price of an area over somewhere with lower growth rates. Data from Zoopla suggests that Manchester has a high capital appreciation rate, with the average property price increasing by 9.2% (whereas the UK average is 8.1%).
Manchester also has an incredibly resistant and robust rental market; having survived the worst of Covid and Brexit, the city is thriving in its new position.
In January 2022, the rental income hit a record high and has only risen. There is high demand for rental properties in Manchester, as the demand outweighs the current supply.
It is estimated that there is a shortage of around 1,350 rental homes per annum, partly due to the large student population, 40% of whom are aged between 15 and 34.
With over 100,000 students, Manchester has one of the most significant student populations of any city and is a hub of learning — in 2021; it was one of the Top Ten University Cities In The Country.
Students and young professionals, surprisingly, need somewhere to stay while they study away from home, which all feeds into the property market.
Not only is the rental market strong, but the short-term is also very strong. With ample sporting grounds, concert halls, lecture halls, libraries, nightclubs, restaurants and much more, Manchester has a vibrant quality of life.
It is a city people from across the world come to visit and is currently AirBnB's joint second winner for the 'Top Ten Most Profitable Cities For Short Term Lets'.
But, the property market in Manchester can still be affected by the cost of living crisis, recession and economic stability plaguing the rest of the United Kingdom.
Which in turn is expected to start dropping the average house price in Greater Manchester.
As suggested above, the UK's housing market, on the whole, has been on the rise for quite some time, quite dramatically since the 2010s.
But, there are a lot of media sources at the moment stirring the pot, suggesting that house prices will drop significantly in the coming months.
However, in the long run, many factors still support house price growth in Manchester, like a shortage of supply, rising average earnings and low unemployment rates.
This will equalise the market, so on the whole, the UK may see a decline in house prices over a more extended period, but for Manchester, house prices won't have any dramatic changes.
That being said, the Manchester property market is having some fluctuations in the average sale price, which could come at good news for house hunters and first-time buyers that have been unable to afford the dramatically increasing house prices.
Despite the pending housing market drop across the country, some areas of Greater Manchester continue to rise, some have begun to drop, and some are staying balanced.
Manchester City Centre is the central business district of Greater Manchester and is home to Piccadilly Train Station. The average house price in Manchester City Centre is £227,441, which is well below the UK's current average of £294,559.
Recently, Manchester City Council confirmed that 556 new homes would be built in the city's centre as part of a residential-led regeneration of the Boddington's Brewery.
Salford is a cultural and entertainment hub within Manchester that stretches the river and canals. It is famous for its location in L.S. Lowry's paintings and one of the most regenerated parts of Manchester.
The average sold house price for all housing types in Salford is £217,788, detached houses sold for £468,424 and semi-detached houses sold for £276,949.
Terraced houses sold on average for £217,588, and Flats sold for £160,085, respectively.
Trafford is a metropolitan borough of Greater Manchester with a population of over 235,000 people and covers the towns of Altrincham, Stretford, Urmston, Parrington and Sale.
The average house price is £252,651, with detached houses selling the least at £544,426 and flats selling the most at £212,953.
Terraced houses sold on average for £241,990, and semi-detached homes sold on average for £353,278.
If you are worried about the Manchester property market, now may be your time to sell your home fast before house prices drop and the market drowns in a surplus of supply.
We can help you sell your house in as little as seven days and will always give you an honest initial cash offer when you register.
We have over 50 years of combined experience in the property market industry, selling hundreds of properties throughout Greater Manchester.
We have thousands of excellent-rated reviews on our Trustpilot and will always put you first. Our caring team have experience in many scenarios, be it you want to stop your home from being repossessed, the open market isn't working for you, or you want to downsize quickly.
To sell your house fast in Manchester, you must click 'Get An Offer' and fill out your postcode. You will then be asked questions about your property, and we will contact you with an initial cash offer.
This is a no-obligation to continue with our service, but if you wish to continue, we will send a regional representative around to your property to finalise the offer. Once you are happy with the request, we will instruct the solicitors and pay the fees for you.
The benefits to selling your house fast in Manchester are endless, but at The Property Buying Company, it shouldn't just be about saving money but also how we deal with our customers.
We will ensure that you are kept in contact throughout the entire process, completing your sale within as little as seven days.
We are not part of any property chains, meaning the process is as stress-free as possible. We will go above and beyond to look after you, even paying for all the fees — you won't experience any unwanted valuation or estate agent fees, and we will build the sales structure around you, including organising any negotiations, onward purchases or rentals if needed.