Manchester, Liverpool and Leeds Investment Hub for Middle East Buyers

Manchester Housing Market

Property prices grew by more than 20 per cent in cities such as Manchester, Birmingham, and Leicester. Manchester properties are selling rapidly to UAE buyers, so the prices grew 6.6 per cent y-o-y in November 2017, whereas UK's average growth rate was 4.7 per cent. 

In the Northern Powerhouse, rental rates are expected to grow at 17 per cent per annum as the new build houses and the city centres are growing fast, increasing pressure on rents.

Due to business growth, Liverpool may provide over a million jobs in the coming five years. As a result, buyers are divesting Liverpool from London, leading to a rise in the rates. Hence, the growth was 5.9 per cent, above the average in the UK, which was 4.3 per cent in May. 

John Lennon Airport currently connects the city to several international destinations. The northern powerhouse rail will connect to Manchester Airport and part of the HS2 route. Liverpool's economy is worth £29.5 billion. Also, the city regrew in 30 years with the development of commercial projects of over £ 1 billion like the Liverpool One and the Baltic Triangle's Cains Brewery village.

The demand for new houses is expected to grow in the city. Many foreign investors from Asia, the US, the EU, and the Middle East seek investment opportunities in these cities.

Leeds is an employment hub, offering sports, entertainment, shopping, tourism and education facilities. There are projects worth £7.3 billion, and many young students graduating from universities are getting job opportunities in the city.

At the same time, it hosts a strong rental market where rents are expected to grow highest in the coming years compared to Manchester and Liverpool. Experts believe rentals will grow by 18.8 per cent in the city in the coming five years.

Opportunities For First-Time Buyers

Local buyers in the UK are waiting to see the impact of Brexit, and buying property for the first time appears to be a tough mission due to its uncertainty. As a result, many do not know how to start. However, there are alternatives, such as the help-to-buy Isa, a tax-free saving option where investors get £50 for saving £200. 

Lifetime Isa can be used by investors aged 18 to 39, or one can opt for shared ownership or buy a percentage of the property and co-own it with a housing association or other investor.

In the Help-to-Buy equity loan, the government gives approx. Twenty per cent of the total value of the house, or 40 per cent if the investment is made in the capital city. 

The government is preparing to launch a scheme to provide a 20 per cent discount for first-time homeowners. Other schemes, such as prohibiting the sale of homes to foreign investors for the first three months of the launch of newly built homes in the capital city, encourage home buying.  

To know more about Manchester, Leeds and Liverpool property investments, click Hamilton International Estates (www.hamiltoninternationalestates.com).