How North West Regeneration Areas are Supporting the UK Property Market

Regeneration areas in the North-West are helping the area to stand above other regional competitors thanks to several key reasons.

Due to the creation of thousands of new jobs across a variety of sectors, many young professionals are moving to these regeneration areas in search of work. This is helping to support the rental market as many in this age group prefer to rent flats close to where they work.

With the influx of new residents, large new residential developments often accompany or are a part of regeneration schemes to make room for those moving to the North-West.

New builds are often more expensive due to their desirable status, and so this helps to drive house prices in the North-West up. Recent developments such as Central Park, Heap’s Mill and Embankment Exchange have proven popular with property investors due to the mix of affordable prices and the potential for high rental yields.

Both Liverpool and Manchester have some of the highest rental yields in the nation, which is good news for investors as it means higher returns on their investment. For example, the L4 postcode in Liverpool has an average rental yield of 6.5%, and the M7 postcode in Manchester has an average yield of 6.6%.

In addition, the influx of newcomers to the North-West is driven in part by the affordable property prices the region has to offer.

As mentioned earlier, the North-West has some of the most affordable prices in the UK, so buyers can get more value for their money than if they looked elsewhere.

This is causing many to invest in property in the North-West due to the mixture of affordability and high rental demand creating a perfect mix for investors to make some serious profit from the region.

In addition, these affordable prices are seeing many move North due to the expense of living in Southern cities such as London. The Guardian reported in 2021 that a record number of Londoners had bought homes outside the capital, with 62% choosing to live elsewhere.

Regeneration areas are also popular with students, due to the number of trendy hotspots they normally host. The innovations to sectors such as science, technology and business are also attractive as it means local universities can make the most of these new developments.

This mean student accommodation often follows regeneration schemes, further drawing more newcomers to the North-West who often stay after their studies due to the wide-ranging amount of graduate jobs available in the North-West’s major cities.

Student accommodation is good for both bringing in newcomers to the North-West and for property investors, as it forms a solid portion of the buy-to-let market in the UK due to the consistent need for student housing.

As you can see, there are numerous ways that regeneration areas in the North-West are supporting the UK property market, and by taking the slack from underperforming areas of the country they are becoming hotspots for property investors.

If you want to learn more about the North West’s regeneration areas, or about the UK property market in general, try talking to our sales team today.

With over 17 years of experience in the property investment industry, we here at RWInvest pride ourselves on our expert knowledge of all things property. Specializing in Liverpool and Manchester, we have a range of below-market-price developments ready for investment right now.

Alternatively, try reading our free guides to property investment in Liverpool and Manchester to learn more about the North-West property market, and why it is thriving right now.