According to a new ranking survey, the purported Northern Powerhouse cities such as Leeds, Liverpool, and Manchester have also been listed alongside Bangkok, Berlin, and Lisbon as first-class global property investment hubs.
According to the recent quarterly global property investment outlook report released by IP Global, Newcastle and Seattle could also join these cities as they are also providing an amazing return on investment. Without mincing words, Manchester has consistently maintained a top position. A report has identified rapid growth as the factor behind the increase in the prices of houses as 8.6% expansion growth rate was achieved from October 2016 to October 2017 with an anticipated 16.5% increase in rents from 2018 to 2022.
Towards the end of the year 2017, there was a record of 5.6% rental yields were achieved with the help of a big working-age population and a 51% retention rate of graduates from the population of 105,000 students in the city. Liverpool has experienced swifter economic growth than the other parts of the United Kingdom with the presence of substantial investment opportunities. According to a survey, Liverpool is even one of the most profitable property investment locations as it boasts of an average rental profit of 6.2%. Prices of the houses in Liverpool have increased at the rate of 14% since 2015 while rents are also on the high side with a projected growth rate of 17.6% from 2018 to 2021.
The survey also claimed that Leeds remains the largest economy in the United Kingdom with the exception of London as it has enticing features for investors across the globe. The expected rental growth is valued to be 18.8% between 2018 and 2021, and it is hugely impacted by the students’ populace of 65,000 and the influx of significant growth industries contributing 6% to the job growth rate in the private sector on a yearly basis.
The report opined that Leeds is positioned to develop as there are indications of a robust future with the presence of purchasers and willing tenants. This is due to the fact that there is a critical supply deficit with 90,000 units to be offered by 2021 with about 60,000 units in the development pipeline.
With an economy supported by an expanding digital industry which contributes a significant quota of 40% for the entire businesses and offers employment opportunities for 27,000 individuals, Newcastle will also join these cities shortly. The number of rental properties that have gained entry into the market in the last thirteen years has grown to 60% as there are accessible 22,000 apartments and homes in the city. IP Global envisages that Newcastle will soon be on the list of the global property investment hubs if development cannot meet the expectations of demand.
Since the scheme was announced in 2016, the figures are confirmed by significant investment in Northern Powerhouse cities. £106 million has been spent in the Northern Powerhouse in the year 2017 which has brought an increase of 36% from 2015/2016. According to the survey, an amount of £200 million is expected to be invested in the year 2018.
According to the report, the expansion drift of Northern Powerhouse has not shown any indication of retrogression with boosted investment in significant services and infrastructure have been enticing various individual property investors worldwide.
The report also added that despite the fact that Bangkok and Berlin have continually enticed investors; Northern cities of England are gaining the attention of global property investors as it is renowned for significant developments at a cost-effective rate with robust and solid growth routes.