The Government have admitted there is still much to do in order to meet their target of new homes built in the country. Many of the ones that have been built thus far however are either apartments or three/four bedroom family homes. For first-time buyers likely in the rental sector, a property with outdoor space is crucial whilst the larger family homes simply don’t meet their needs nor their affordability.
The rental sector however, with supply provided primarily by investment landlords, is suited to a wide variety of needs. Affordability is much easier upfront in the rental sector, whilst any compliant landlords and effective, thorough letting agents make the process for tenants as simple and welcoming as possible.
According to the brand new Modern Life report by Fidelity International, one in four – 41% – people aged 34-54 are currently renting and almost a quarter – 23% – of that age group think they will never own a property.
Almost a quarter of people in the report aged over 55 still rent the property they live in, however one tenth of this group still have homeownership aspirations.
While 65% of those under 34 display more optimism about their future homeownership chances, that falls sharply when people are between the ages of 35 and 54 when only 23% of people feel the same way.
Most notably, the main reason cited by the study why people aren’t prepared to purchase a property is down to affordability.
In fact, the increasing cost of buying a home largely explains why the UK home ownership rate has slumped from 73% a decade ago, to just 63% today.
With no property market storm whipped up by the political nightmare of Brexit, as has been predicted by many of the national media platforms, property prices are only going to increase based on the current trend and continue to be out of reach to the many. The ongoing and solid growth in the rental market is a testament to this notion, creating demand for the supply that buy to let landlords are able to provide.
With Manchester’s population set to continue rising over the coming years, there has never been a better time to begin property investment in order to meet the demand for the supply. For more information on how you can future-proof your cash flow with property investments in Manchester, give us a call on 0161 883 2525.
