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Whether you’re thinking of buying or selling a flat in Manchester (or any other type of property, for that matter), having a general idea of where the property market may head throughout 2024 will help you make the right decision. And while nobody can know for sure, experts have finally come out with a verdict on the matter.
In this article, we’re going to share with you the forecast for the Manchester property market, what to expect, and which parts of the city everyone should pay specific attention to. But before we do that, let’s first take a quick look at the different factors that are expected to have the most significant impact on Manchester’s property market in 2024.
Factors That Will Influence the Manchester Property Market in 2024
Several different factors will come into play during 2024 that will have a major impact on the property market throughout Manchester. They include:
Interest Rates
Higher interest rates mean that borrowing money is more expensive, and that includes borrowing money through a mortgage to buy a house. As it costs more to purchase a property, the demand for mortgages will be lower, which will have an impact on the demand for properties. And when the demand is lower, the property prices will go down. This is excellent news for people looking to buy and bad news for people looking to sell.
Supply and Demand
The number of properties that go up on the market vs. the number of buyers interested in buying a property will also have a significant impact on the property market. As interest rates are expected to remain high, fewer people would be expected to want to get a loan compared to the number of people who’ll list their property up for sale. This will result in the market having more properties than there are buyers, which will negatively affect the property market.
Net Migration to the City
It’s no secret that Manchester is one of the UK’s fastest-growing cities. As a result of that, it was recently crowned the fastest-growing city in terms of population growth rate. And it’s easy to see why. Just last year, a total of 58,800 people moved to Manchester. And now, the city council believes that the city’s population will surpass 635,000 by 2025. And because of this staggering growth in population, the demand for properties has risen, which will have a direct impact on the property market.
Government Policies and Regulations
New and unexpected government policies and regulations can play a huge role in Manchester’s property market. One great example, which is expected to have a negative effect on the property market, is the government’s target of achieving its net zero goals by 2050.
And while the goal within itself is a positive thing – the money it’ll cost landlords, for instance, isn’t. Many are already ditching the lucrative opportunity that being a landlord once was and are moving their money elsewhere, which has been leading to an increasing number of properties hitting the market.
Market Confidence
Market confidence takes a long time to build, and as things stand and are expected to carry on throughout 2024, the market is expected to be anything but confident. And it’s easy to see why. Interest rates and inflation remain high, and the general cost of living is increasing – among other things.
And for the property market to thrive, the average population needs to have disposable income so they can build up capital and be confident that the economy in the future will be good – which isn’t the case right now.
Manchester Property Market Forecast for 2024
According to Joseph Mews, Manchester is predicted to be the strongest city for house price growth, at least until 2027. Based on how the economy is, Joseph Mews states that property prices in Manchester are bound to increase by around 2.5% this year.
This is particularly good news, especially since the majority of experts believe that the Manchester housing market may move slower than usual during 2024, which hasn’t been the case so far. If we were to get down to the specifics, the three areas of Manchester that everyone should keep a close eye on include Salford, Oldham, and the city centre.
The reason is that Salford is seeing extensive regeneration, going as far as Media City. And if you’re wondering where to get the best value for your home in Manchester – Oldham would be the answer. As far as the city centre is concerned, it’ll always be a place where the property market thrives.
Whether you’re wondering what it’s like to live in Manchester and are thinking about buying a home in the city or are looking to sell and move elsewhere, knowing what the property market forecast looks like is always a good idea.
When you’re equipped with all the right information, you can clearly define your next steps, which will more likely than not lead to your making a good financial decision.
