Part 1 of our Manchester series underscores research highlighting Manchester as the UK’s no. 1 property investment hotspot in the next 10 years. In Part 2, we discuss why Manchester is poised to have the strongest rental market in the UK.
Video credit: Select Property Group
According to Savills, demand for rented accommodation has increased by 17,500 households per month over the past decade to 2014. This demand for rented homes is set to rise by more than 1 million households over the next 5 years.
The private rented sector in Manchester is slated to boom with over 10,000 new build-to-rent units are due to be built over the next few years. This is due largely to the Mancunian city’s largest concentration of young working adults, i.e. the Generation Y.
7 Reasons Why Generation Y is the Future of the UK’s Property Market – Select Property Group
- They do not want to be tied down with long-term mortgages
- Career-focused; they stay in roles for shorter lengths of time as they progress later in life
- Prefer to live in dense, diverse urban villages
- Demand ceaseless access to technology and fast-paced information
- Professional and educated with a good work-life balance
- Value practical amenities that make living easier
- No expectation to own a property – success is defined in other ways
#DidYouKnow that Manchester is home to over 60% more 25- to 29-year-olds than the national average? (source: Manchester Property Guide 2015)
Why is Manchester the Fasting Growing Generation Y City
- The city’s population is rising quicker than any city outside of London and 2.85 million people will live there by 2025 – 89% of this new population is Generation Y.
- It means over 60% more 25 to 29-year-olds live in Manchester than the UK average. This Generation Y market accounts for 22% of Manchester’s overall total population, almost 4 times the national average
- A huge 85% of people living in Manchester city centre now privately rent and 70% of the population is classed as BINKY – Big Income, No Kids Yet
- 58% of graduates from the Greater Manchester universities enter employment in the local area. That’s almost 20,000 new workers a year. Every year.
- Aspirational and career-focused young people are naturally drawn 70,000 new jobs will be available to them over the next decade.
- City targets state Manchester needs 4,000 new units a year to house its rapidly growing Generation Y market. Only 1,417 annual units are set for delivery over the next eight years. Two-thirds of this supply is still subject to planning.
This post is originally published by Select Property Group.
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