Manchester property accountants can help buy-to-let landlords to make the most of your property portfolios, in light of relatively low buying prices in the city.
According to figures from HSBC, Manchester ranks in the five most attractive buy-to-let markets in the UK, thanks to the low asking prices on rental properties when they go up for sale.
Overall, Manchester ranks fourth behind Southampton, Blackpool and Hull, with a typical property price just over £100,000 and average monthly rent of £650 – a yield of 7.6% before deductions like property tax and maintenance costs are factored in.
Peter Dockar, head of mortgages at HSBC, says: “Buy-to-let remains a good investment for those looking for above-average returns.
“Twenty-three of the top 50 areas offer yields above 5%, significantly more than is available from more traditional savings options.”
However, he adds that it is important to compare asking prices with expected rental income, in order to ensure the gross yield offers the best possible return.
With this in mind, it may be best to consult Manchester property accountants before buying in the city – particularly to determine how any costs such as property tax could eat into gross yields and affect profitability.