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Home Construction Struggling With Birmingham Housing Demand Increase

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Home construction in Birmingham is struggling to keep up with a huge housing demand increase as Birmingham is experiencing a population explosion with numbers growing five times faster than homes can be built. The lack of new residential properties combined with a fast-growing population means the construction sector will likely struggle to keep up for a while. This could lead to an even greater housing crisis in Birmingham over the coming years.

 

Rising Property Prices Due to Housing Demand Increase

Due to the lack of housing in Birmingham house prices are rising faster than any other city in England. 2016/2017 witnessed growth of 7.5% – much higher than London and all other UK cities apart from Edinburgh. This growth is set to continue with a very healthy outlook for Birmingham’s property market.

 

An Investor’s Market

The Birmingham housing demand increase has created a good market for property investors. The MSCI / IPD UK property index results from 2016/2017 reported that residential was outperforming all other sectors in the city. Including office, industrial, retail and leisure.

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