Edinburgh has retained its crown as the UK’s hottest spot for property investment, with Glasgow hot on its heels. Meanwhile, Manchester is making waves down south, snatching the top spot in England.
A new report by property experts Colliers has revealed that Scotland’s major cities are continuing to attract serious investment. The report, which analyses 24 factors impacting property markets across the UK, placed Edinburgh at the top of the pile for the first half of 2024. This continues its reign from the previous report at the end of 2023. Glasgow wasn’t far behind, securing second place thanks to its resilient property values.
South of the border, Manchester has muscled its way to the top of the English rankings, securing third place overall. Experts put this down to a potent mix of strong economic performance and a booming property market. The city has seen house prices skyrocket by a staggering 33% over the past five years, leaving the 20-city average of 15% in the dust.
Andrew White, head of UK residential and international properties at Colliers, explained: “Manchester has undergone a remarkable transformation in recent years, with redevelopment projects spanning all types of housing. Its high ranking in our analysis is a natural consequence of this progress.”
He added: “Over the past five years, we’ve seen a wave of major corporations and government agencies, including JP Morgan, Octopus Energy, and Rolls Royce, relocate their headquarters to Manchester. This influx has fueled a surge in housing demand and significantly boosted house prices.”
The report also highlighted the city’s need for strategic expansion to keep pace with its growing population and attractiveness to investors. The availability of undeveloped land (known as “greybelt land”) for development is expected to play a key role in supporting sustainable growth in the years to come.
Oliver Kolodseike, from Colliers’ research and economics department, shed light on the dynamism of the UK property investment landscape: “While the top two cities have held steady in our latest analysis, there have been significant shifts within the top 10. These changes are largely driven by fluctuations in GDP predictions, house price growth, and updated data on new business ventures.”
He emphasised the tailored nature of the report’s insights: “By considering a diverse range of indicators crucial to the residential property market, we can provide bespoke insights based on investors’ primary motivations, whether those are economic factors, housing market dynamics, or elements that are essential to residents.”