Demand for city-centre living in Birmingham is booming, as is the population. Between 2006 and 2016 the number of people living in Birmingham grew by 100,000. Furthermore expected to reach a total of 1.3 million by 2039 it is. The current undersupply of residential housing in Birmingham is creating a very competitive market and increased investment opportunities for investors.
Increasing House Prices
2017 saw Birmingham top the list for house price growth in England at a 7.5% average increase. Second only in the UK to Edinburgh. It is also one of the top cities for year-on-year growth. This is due to a house price increase of 6.6% between March 2017 and March 2018.
Its affordable house prices – an average of £197,461 for the city centre – and undersupply of available homes makes Birmingham a city that investors should definitely consider.
Build to Rent
There’s much demand in the privately rented sector due to its high population of students, young professionals and young families in Birmingham. There are currently 1,500 Build to Rent apartments in development in Birmingham. Predicted that more will be constructed as tenant demand doubtlessly grows it is. Furthermore, with some rental yields reaching nearly 11%, there are great investment opportunities for buy-to-let investors in Birmingham.