Salford has been transformed by a huge level of regeneration over recent years, and this has been reflected in house price statistics from the past decade.
Looking at historic house price growth puts into perspective the financial gains that can be made through property ownership, and money.co.uk has released a report detailing the areas that have seen the biggest rises, as well as the best investment locations for landlords now.
In the north west of England, the top location in terms of 10-year house price growth has been Salford, which appears in sixth position on the list overall. It has seen its average property values rise from £108,093 in August 2012 to £216,470 in August 2020 – a huge 100.26% increase.
With heavy scale regeneration taking place in the metropolitan borough in Greater Manchester, not only has the footfall increased due to more businesses basing themselves there, but the population has also soared by more than 30,000 people.
Ongoing growth in Salford
While it may have seen some hefty property price gains over the past 10 years, which will have benefited thousands of homeowners as well as investors, the growth is not set to stop there. This puts Salford firmly on the map in terms of property investment opportunities.
The local authority expects its population to grow by a further 11% up to 2037, with an additional 415,000 metres squared of new office space coming to the area between 2015 and 2035. Over the next 25 years, the council anticipates around 40,000 new jobs coming to the area.
These figures are linked to the Salford Local Plan, which sets out investments and changes penned for the area up to 2035, including creating more distinct neighbourhoods, increasing business and residential space, and focusing on environmental improvement.
The Media City part of Salford is one of the aspects it is best known for. Home to more than 250 businesses, including large corporations such as the BBC, ITV, dock10 and Kellogg’s, the area is also a popular place for locals and workers to meet and socialise, and is a draw for prospective tenants.
Top investment locations for landlords
The money.co.uk study also lists the places that it believes make the most promising property investment locations. This is based on factors such as cheaper purchase prices and strong rental prices, driven by demand. Alongside this, investors must consider things like future regeneration plans, transport links and jobs.
Top of the list is Blackpool, where the average home will set you back around £140,108 – well below the UK average – while rents are £550 per month, providing a decent yield. This makes the rent 0.393% of the average house price in the north-western seaside town.
The majority of the list is in fact made up by local authorities in the north of England, where prices are not only lower but rental prices and growth are strong. The north west is also a standout region in the report in terms of promising property investment hotspots.
The first major city to come up in the rankings is Manchester, which is the sixth best place to invest in buy-to-let property, according to money.co.uk. House prices in the city are an average £234,841, while average rents are £850 per month.
Salford also features slightly lower down in 16th position, meaning it is still a top consideration for landlords seeking their next investment location. With the average property costing £216,470, rents are £750 per month, equating to a strong potential yield in the current market.
The north west city of Preston, which has seen similar levels of regeneration and transformation in recent years – much of which is ongoing – comes in 18th position for places to invest. Average homes there cost £161,062, while the average rental property generates £550 per month.
