10 Best Areas and Places to Invest in Manchester

Manchester’s growing population, robust regeneration projects, and soaring rental demand create a perfect storm for property investment success. 

With yields up to 12% and rapid price growth, this city offers unmatched opportunities. 

Discover the top buy-to-let areas and strategies to secure your financial future in Manchester, UK.

Why invest in Manchester property investment?

Infrastructure development in Manchester, such as what is going on at the airport and to the metro link, will elevate the city’s profile both for businesses and residents further.

Despite all the controversies, investing in Manchester in 2025 is still a good decision. Accordingly, Manchester is now undergoing serious regeneration, with large projects such as the NOMA development and MediaCityUK constantly changing the outlook of the city. 

Indeed, property price growth in Manchester is expected to be among the highest in the UK, at 19.3% by 2028, according to JLL.

While still considerably cheaper compared to London, Manchester has higher returns on investment, especially in areas like Salford and Oldham, which are going through regeneration. 

With high rental yields in the city core and most of the surrounding neighborhoods, there should be stable and profitable rental markets that investors can benefit from. 

Best Buy to Let Areas in Manchester

As such, below are the 10 best buy to let hotspots in Manchester

1. Salford 

Salford is witnessing regeneration at a higher pace. With its proximity to Manchester’s city centre, it is an increasingly ideal location for buy-to-let investors. The booming MediaCityUK-the heart of digital and creative industries-keeps pushing the values up. 

This area has realized 13.4% annual rent growth over time due to its increased popularity among young professionals, families, and students. Giving a yield of about 9%, Salford has outdone many other parts of Greater Manchester. 

The huge influx of professional tenant residents and students would ensure consistently rising demand and thus appreciation of the housing there, backed by transport developments such as the redevelopment at Salford Central Station. 

Average Property Price: £231,000

Average Rental Yield: 9%

2. Trafford 

Trafford offers a strategic combination of being located near to Manchester City Centre with local amenities and is considered an ideal location for short-term lets. 

With its average property price standing at £375,000, it can give a rental yield of about 8% and assure investors of steady returns, especially targeting tourists, young professionals, and families. It also has an annual growth rate of 12.0% in rent as part of a growing rental market fueled by its very good transport links such as the Metrolink and M60. 

This appeal will be further driven by continuing development in Trafford, including new public space and infrastructure improvements. 

Besides the already popular attractions here, such as the Trafford Centre and green spaces, demand by those requiring convenience and leisure is attracting an increasingly resident population.

Average Property Price: £375,000

Average Rental Yield: 8%

3. Huddersfield 

Huddersfield is a less typical investment destination for Manchester investors but offers great value with a strong rental market. The average property price in this town now stands at £200,729, while the rental yield is at 7%. 

Investors are in a good position, with affordable entry points and rising demand from tenants. It is a popular commuter town, enjoying direct rail links with both Manchester and Leeds, while cultural events, a university, and scenic parks add to its appeal. Annual rent growth of 8.2% reflects the town’s increasing popularity. 

Huddersfield is regenerating, including transport and infrastructure improvements, and is expected to continue to see increases in property value. Affordability and growth on offer make Huddersfield a good buy-to-let option for the long-term investor.

Average Property Price: £200,729

Average Rental Yield: 7%

4. Manchester City Centre

Manchester City Centre continues to be one of the most profitable areas in which to invest in property, with opportunities ranging from student accommodations to high-end flats. 

Added to Manchester’s strong economy, the growing demand for housing due to ongoing regeneration projects positions the city centre as an attractive location. 

As more global investors move into the market, investors are likely to continue seeing growth in property values and rental yields. Infrastructure development and commercial nodes, such as Spinningfields and Deansgate, increase overall appeal.

Average Property Price: £234,064 

Average rental yield: 6.38%

5. Castlefield 

Located just south-west of Manchester City Centre, Castlefield is quickly becoming one of the best areas to invest in property. 

With an average property price of £251,338, it’s a slightly more expensive alternative to the city centre but offers a quieter, more scenic lifestyle while being within easy reach of Manchester’s amenities. 

Ongoing regeneration, especially the conversion of period buildings into modern living space, further raises investment potential in the area. Castlefield is an extremely good location for buy-to-let investors who seek long-term growth and high rental yields.

Average Property Price: £251,338

Average rental yield: 6.90%

6. Fallowfield 

The most outstanding buy-to-let region in Manchester is surely Fallowfield. It claims the highest average weekly rent (£561) with an exceptional rental yield of 12%. The prime reason for renting demand in this area is that students flock here due to its closeness to the University of Manchester and Manchester Metropolitan University. Thus, Fallowfield boasts an entirely student-heavy population, always providing guaranteed income to rental investors. 

The Fallowfield Loop Regeneration scheme is due to provide good improvement on transport links, parks, and green spaces, and is already on-going. 

It will comprise more than 1,000 units and will hence meet growing demands by the University of Manchester and Manchester Metropolitan University with the completion of the £22m Fallowfield Student Accommodation Complex. 

Average Property Price: £216,092

Average Rental Yield: 9.15%

7. Ardwick 

The £1.2 billion Great Ancoats Street Regeneration development is set to have a considerable impact on surrounding areas of Ardwick. The Manchester Life Housing Project has turned this place into many new homes, which are specifically dedicated to young professionals and families. 

Ardwick, on average, will have an 8.43% gross rental yield thanks to its good central location and relatively low price compared with such close neighbours as Chorlton and Didsbury. 

In the long term, the area will realize much of the promise of its investments, which are starting to flow into residential and commercial projects. 

Average Property Price: £191,766

Average Rental Yield: 8.43%

8. Gorton 

Gorton town is situated outside the city centre, benefiting from strong transport links and Metrolink. Gorton Town is set to experience significant transformation from the Gorton Town Centre Regeneration Project. 

The new £7m Gorton Market redevelopment adds to the growing list of commercial and social spaces within the area which promise to uplift property values in this local area. 

Cheaper Gorton should soon be history. 

Also, the town’s proximity to the popular areas of Levenshulme and Stockport ensures its long-term growth potential. This area offers investors great value, with property prices still low compared to its neighbouring hotspots.

Average Property Price: £170,312

Average Rental Yield: 11.29%

9. Didsbury 

Didsbury is one of Manchester’s richest areas. It is a neighborhood that has an incredible combination of high yields (7.3%) and rising property prices. 

The area has everything, such as amenities, schools, and green spaces, which is what professionals and families alike enjoy. 

The Didsbury area is also going through some major infrastructural developments such as the Didsbury Train Station Expansion worth £20 million. 

Once completed, the project will greatly enhance the access from the city centre to neighbouring areas. Moreover, the Didsbury Village Masterplan is at this point creating new homes alongside mixed-use developments and improved community facilities. 

Average Property Price: £415,000

Average Rental Yield: 7.3%

10. Harpurhey, Blackley 

One primary ongoing transformation in Harpurhey and Blackley is the £5 million regeneration project at Harpurhey Town Centre. This project will include the addition of new housing and a shopping complex, as well as improving community spaces. 

While it is considered one of the poorer parts of Manchester, properties under the market value are available in Harpurhey and Blackley, thereby enticing those who seek high returns for a low investment.

As it has happened in the past, much of Manchester’s regeneration will come to areas such as this, previously neglected M9. Thus, property values will rise in this area while creating a highly potential investment sector for buy-to-let landlords.

Average Property Price: £181,090

Average Rental Yield: 8.5%

Current state of real estate investment Manchester 

Manchester has left its rivals behind to become the UK’s best buy-to-let city, owing to its rental demand, regeneration projects, and growth forecasts. Let’s see how:

1. High growth for rental markets 

With more than 31% of the entire population in Manchester relying on private rents, it indeed creates a significant demand unmatched by any other region. The average cost charged for renting a one-bedroom apartment reaches £1,200 per month, with predictions offering a 16.5% increase in prices over the following five years. 

2. Capital appreciation: Sixfold gains and counting 

From an average of £41,625 back in 2000 to an average of £263,132 in 2023, it has nearly multiplied by six. Nevertheless, it is still much cheaper than London, so it is a healthy investment. Over the next five years, forecasts suggest an average house price increase of 17.1%.

3. Transforming the city with urban regeneration 

Manchester’s skyline is the testament to the city’s transformation. Victoria North is amongst the new development projects on 155 hectares of land along Queen’s Park and Victoria Station. Moreover, regeneration hubs like NOMA and Spinningfields have enhanced Manchester’s position as a growing urban area in the UK.

4. Housing demand far outpacing supply 

In just six years with a 30,000 population growth that is projected in a city with a 2026 target of 100,000 urban dwellers, housing demand has increased greatly. Yet housing supply lags behind with just 2,402 and even the 11,765 units under construction will not come close to closing the gap, thereby keeping up unrelenting upward pressure on rents and property values.

What are the property investment options in the UK?

Manchester being one of the cities that are witnessing steady growth, it will become a major hotspot for property investments, especially in high-demand areas close to transportation links, corporate hubs, etc. 

Below are the top investment options that help make the most of the high performing areas in Manchester:

1. B2SA

Buy-to-Serviced Accommodation (B2SA) affords the best bets when it comes to cashing in on Manchester’s travel and tourism market for corporate travel. Prime locations such as Deansgate and MediaCityUK accept the top dollar for their rental spaces as they are said to attract five-star travelers.

Therefore, one can anticipate continuing demand coupled with a changing price variation during peak seasons. 

The New Build Serviced Accommodation plan by Pluxa incorporates luxury properties that are entirely compliant to bring in yields of up to 15% with a monthly cash flow of £1,000+. 

The Buy-to-Refurb plan comes with even higher returns of yields up to 20% as it goes above £2,000 monthly cash flow. Pluxa handles everything, from sourcing to guest management, to make the whole process seamless and profitable.

2. R2SA

Rent-to-Serviced Accommodation (R2SA) is also an excellent option for real estate investors looking for lower-risk entry points into Manchester’s property market. 

It aims at attracting medium and long stays from corporate bookings and extended tourism, especially in demand spots such as Spinningfields or Old Trafford for this period. 

Under the Pluxa’s R2SA plan, an investment of £10k turns into £1k monthly cash flow and over £100k in three years. Corporate bookings are taken by our sister company, Pluxa Stays, which also manages every aspect of guest experiences,

3. BRRR

Through the Buy, Refurbish, Rent, Refinance (BRRR), the investor is really in that long-term wealth building, since this strategy increases the value of undervalued regeneration areas like NOMA or Ancoats, putting their potential into the property value through refurbishments as their consistently generated rental income creates the opportunity to release equity for future investments. 

Best areas for rental properties in Manchester

The following are the best areas for rental properties in Manchester:

1. Old Trafford

Housing prices in Old Trafford have increased greatly, reaching 26% in the last 12 months. Lately, the area used to affordably house people but with a drastic change, it now becomes a place with high capital appreciation. 

This will include great investments and developments around the area that include nearness to the famous Old Trafford Stadium, which is a primary tourist destination. 

Average Property Price: £209,000

Average Rental Yield: 4.8%

2. MediaCity & Salford Quays 

With the River Irwell flowing into Media City & Salford Quays, the area is somehow buoyed up with its increasing creative tech industries. 

This is the home of BBC and ITV studios, and suddenly, it has begun attracting a young crowd of professionals and creative people who will spend rents within the range of £1,000–£1,250 monthly, providing with a rental yield of 8.22%-one of the highest in Manchester. 

Over the last 12 months, property prices have enjoyed a rise of 10.68%. Falling into future projects in 2025 will develop the area with new homes, green spaces, and commercial developments under the giant £1 billion Salford Crescent Masterplan. 

It is thus the right area for investors targeting extremely high rental returns with a tenant pool identified as professionals coupled with corporate renters.

Average Property Price: £199,370

Average Rental Yield: 8.22%

3. Deansgate 

Deansgate will be the most prestigious of Manchester’s addresses for luxury living. It lays claim to some of the iconic towers that have been built with state-of-the-art amenities such as wellness suites and cinema rooms. 

Some of the things that add to the density of this area, which is the city center, are the extremely active city life and the massive urban regeneration projects, such as the £213 million proposal for 746 new homes and better walkways. 

Its uniqueness, as one of the most expensive streets in the UK outside southern England, adds to its elite value. Deansgate will certainly prove to be rewarding to any investor targeting moneyed tenants.

Average Property Price: £299,233

Average Rental Yield: 5-6%

4. Ancoats & New Islington 

Ancoats and New Islington are ideal for younger tenants who want proximity to the Northern Quarter’s cultural vibrancy but at a slightly lower cost. 

A working-class area, Ancoats has been extensively regenerated bringing together heritage charm and modern architecture. There is a growing reputation of the area as a residential hotspot due to its blend of trendy bars, great restaurants, and first-rate transportation links. 

Average Property Price: £287,750

Average Rental Yield: 6-7%

Final words

Manchester stands as a powerhouse for property investment, offering high rental yields, strong capital growth, and unparalleled regeneration projects.

With its affordable entry points compared to London and increasing demand fueled by a growing population and economy, the city provides investors with promising opportunities.

Whether you’re targeting buy-to-let, serviced accommodations, or long-term equity growth, Manchester delivers.

Start investing now to capitalize on this vibrant city’s growing real estate market and secure lasting returns.