Top 5 Manchester Locations for HMO Investments in 2025
Forth Action Invest on April 14, 2025
Manchester remains one of the UK’s most attractive cities for HMO property investment, thanks to its growing population, strong rental demand, and dynamic student and professional hubs. For property investors, the right location is crucial—not just for yields, but for long-term sustainability and compliance.
Before diving in, it’s important to note that many parts of Manchester are subject to Article 4 Directions, meaning planning permission is required for HMO conversions. With that in mind, here are our top five areas where savvy investors are seeing strong potential in 2025.
1. Swinton
Swinton, situated in Salford, is fast becoming a favourite among investors looking for affordability combined with excellent connectivity. The area has seen a rise in young professionals and small families seeking rental accommodation close to Manchester city centre but without the premium city-centre prices.
With strong local amenities, good schools, and ongoing development in surrounding zones, Swinton is positioned to offer solid yields and lower entry prices compared to central Manchester. HMO opportunities here are often snapped up quickly—especially for properties near the train station.
2. Fallowfield
A student magnet, Fallowfield is one of the most established areas for HMO properties in Manchester. It’s home to a large portion of the University of Manchester’s student population, with Wilmslow Road acting as the lifeline of the area.
The continuous demand for student accommodation means void periods are rare. While competition among landlords can be stiff, a well-managed, high-spec HMO here can deliver strong cash flow and consistent returns. Think long-term—it’s a resilient area, no matter what the market throws at you.
3. Salford
Salford’s transformation over the past decade has been nothing short of remarkable. MediaCityUK has brought in a wave of professionals and creatives, while the University of Salford keeps the student market buzzing.
Areas like Eccles, Pendleton, and Langworthy offer a wide mix of terraced housing ripe for HMO conversion. Demand from both students and working professionals creates a hybrid tenant profile, which can be a real bonus in diversifying your rental income.
4. Levenshulme
Levenshulme is one of Manchester’s best locations for HMO property investments. This neighbourhood has seen increasing gentrification, with independent cafes, bakeries, and weekend markets bringing in a vibrant community feel.
It strikes a great balance between affordability and desirability. For HMO property investment, Levenshulme’s Victorian housing stock is ideal for conversions, and the area attracts both professionals commuting to the city and students looking for something outside the usual student haunts. Conversions in this location will require full planning permission so thorough due-dilligence on potential purchase should be carried out by investors.
5. Didsbury
Didsbury brings a different kind of opportunity to the table. It’s affluent, well-connected, and packed with lifestyle appeal. While entry prices are higher, so are rental premiums.
This area appeals strongly to young professionals and postgrads who want more from their living environment—think leafy streets, boutique shops, and artisanal brunch spots. Investors willing to go upmarket with their HMO setup can achieve high-end rents and excellent tenant retention here.
Choosing the right location is the cornerstone of successful HMO investing in Manchester. Whether you’re focused on high yields, long-term growth, or tenant quality, these five areas offer a mix of opportunities to suit various investment strategies.
If you’re looking for tailored guidance on sourcing, managing, or scaling your HMO portfolio in Manchester, our team at For The Action Invest is here to help.