The north-west property market is the second hottest nationwide, giving investors hitting an affordability ceiling in London an opportunity for profit.
- Investors are looking towards the north-west as the most up-and-coming region to invest
- Over half of all investments are believed to come from overseas in 2016
- Growing northern cities such as Manchester are ideal opportunities for investors looking outside of London
The north-west has been named the hottest region within the UK for overseas investment outside of London.
The survey, carried out with decision makers within the property market, showed participants believe that the north-west region would only be pipped by the south-east, with investments split between both commercial and residential properties.
33% of participants believed that over half of all investments will come from overseas in the next 12 months. Two-thirds of respondents believe that if priced out of the capital, buyers were more likely to look towards growing regions to invest.
Outside of London the heaviest investors were believed to be institutional investors and pension funds, with high net worth individuals and private companies coming in second.
Howard Freedman, RSM’s UK Head of Real Estate and Construction, said: “It is clear there is a scarcity of investment and development opportunities in London, and that now investors are looking further afield within the UK than in previous years. I think this is good news for the property sector in the regions, and one that I think both commercial and residential property owners need to look to potentially take advantage of over the coming year.”
Investor opportunities outside London are most evident in northern cities such as Manchester and York, with Manchester being named HSBC’s UK buy-to-let hotspot and both experiencing capital growth at a rate higher than in 2007.