It’s a staggering fact that the private rented sector (PRS) in Manchester has grown by 85% over the last 10 years. Approximately 9 out of 10 homes in the centre of Manchester form part of this sector and it easily outstrips the rest of the north west when it comes to the number of rental households.
In addition to Manchester having a huge young professional market, the Greater Manchester area can boast five universities and these play a significant part in driving the rental sector. The five universities in question are Manchester, Salford, Manchester Metropolitan, Manchester School of Architecture and the Royal Northern College of Music. In the city centre itself there are around 100,000 students and if you extend this to the Greater Manchester area this extends to around 400,000 students, with many students from overseas.
20% of the PRS sector is made up by students
With a limited number of students qualifying for university halls of residence, this leaves thousands of students needing rental property in the city, creating a massive need for purpose-built student accommodation and HMO properties in the city. Estimates indicate that around 20% of the private rented sector in Manchester is made up by students.
The good news for Manchester’s economy is that around 58% of students who study in Manchester, end up staying in Manchester after graduation. This equates to around 18,000 graduates a year, the vast majority of which stay in the private rented sector.
The PRS sector in Manchester is very much attuned to the lifestyles of students and young professionals. Renting gives them the flexibility they want whilst being in the heart of the city with access to all the amenities and entertainment that it has to offer.
The fact that around 58% of graduates stay in Manchester is very much in line with the goals of the Northern Powerhouse initiative which is to keep talent in the north. With a consistent stream of students moving to Manchester every year, the more that end up staying in the city, the larger the PRS sector becomes and so the cycle continues.