Authored by the expert who managed and guided the team behind the United Kingdom Property Pack
Yes, the analysis of Birmingham's property market is included in our pack
Where are the best places to invest in Birmingham right now? Is the city center still the top pick, or are neighborhoods like Digbeth, Jewellery Quarter, and Edgbaston gaining ground? What makes these locations attractive to both local and foreign investors?
We’re often asked these questions because we work directly with notaries, real estate agents, and clients who invest across the city. Our firsthand experience in these markets gives us unique insights into where the real opportunities lie. To save everyone from asking privately, we’ve written this article to share our knowledge broadly.
Our goal is to highlight the hottest markets in Birmingham and explain why they’re worth your attention in 2025.
If you have suggestions or want us to dive deeper into a specific area, let us know. You shoot an email, we answer within 24 hours.
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1) Harborne is gaining popularity for its village charm and top schools, attracting families and driving up property prices
Harborne is becoming a hot spot for families, thanks to its charming village feel.
Imagine a place where neighbors know each other, and community events are the norm—that's Harborne. This tight-knit vibe is a big reason why families are flocking here. Local activities and events create a sense of belonging, making it an ideal place to raise kids.
Another draw is the top-notch schools in the area. Schools like King Edward VI High School for Girls and King Edward VI Camp Hill School for Boys are highly regarded. For parents, good schools mean more than just education; they add to the area's appeal, making it a top choice for families.
All this interest has naturally led to a rise in property prices. In 2024, the average asking price in Harborne jumped by 15% from the previous year. This surge reflects the strong demand for homes in this desirable suburb.
The real estate market here is buzzing, with new property listings up by 18% from October 2023 to October 2024. This increase shows a healthy and active market, with more people eager to call Harborne home.
Families are drawn to Harborne not just for its schools and community feel, but also because it's a place where property values are on the rise, making it a smart investment.
Sources: House Metric, Meetup, School Guide, McHugo Homes
2) Selly Oak is popular for its student population from the University of Birmingham, ensuring steady rental income
Selly Oak is a hotspot for property investment thanks to its bustling student community from the University of Birmingham.
With over 38,820 students at the university, many opt to live in Selly Oak due to its convenient location near the campus. This influx of students creates a robust demand for rental properties, ensuring landlords enjoy strong rental yields.
In fact, the B29 postcode in Selly Oak is particularly lucrative, offering an average yield of 7.00%. This makes it one of the top areas in the country for investing in student properties, attracting savvy investors looking for profitable opportunities.
Moreover, the area benefits from low vacancy rates. The shortage of student accommodation means that landlords rarely experience empty properties, ensuring a steady stream of rental income.
For property owners, this consistent demand translates to almost always occupied rentals, providing a reliable income source. The vibrant student life and proximity to the university make Selly Oak a prime location for those looking to invest in rental properties.
Investors can feel confident in the area's potential, as the student population continues to drive the market, making Selly Oak a smart choice for property investment.
Sources: Birmingham City Council, Statista, Track Capital
We have made this infographic to give you a quick and clear snapshot of the property market in the UK. It highlights key facts like rental prices, yields, and property costs both in city centers and outside, so you can easily compare opportunities. We’ve done some research and also included useful insights about the country’s economy, like GDP, population, and interest rates, to help you understand the bigger picture.
3) Jewellery Quarter is gaining interest for its historic charm and modern apartments, driving high rental demand
The Jewellery Quarter in Birmingham is a hot spot for investors, thanks to its unique blend of historic charm and modern apartments.
Young professionals, especially those aged 21-30, are flocking to this area, creating a steady demand for rental properties. This makes it a prime location for buy-to-let investors looking for reliable returns.
Over the past decade, property values in the Jewellery Quarter have increased by an impressive 50%. This surge is fueled by the area's mix of historic allure and modern conveniences, with ongoing developments like luxury apartments adding to its appeal.
The rental market here is thriving, with average prices for a two-bedroom apartment hovering around £1,321. The area also boasts a healthy annual rental growth rate of 5%, making it a lucrative investment opportunity.
Looking ahead, rental prices in Birmingham are expected to rise by 22.2% by 2028, with the Jewellery Quarter playing a significant role in this growth. This projection further solidifies its status as a desirable investment location.
Sources: Birmingham Homebuyer Group, NPP Residential, Joseph Mews
4) Digbeth is booming with new residential developments and its close proximity to the city center
Digbeth is quickly becoming a hot spot in the real estate market thanks to its rapid transformation and strategic location.
In recent years, property prices in Digbeth have been on the rise, with a 4% increase from the peak prices in 2020. This shows a recovering and growing market, supported by the area's affordability. With average property prices around £180,000, Digbeth is an attractive option compared to other major UK cities.
The area is buzzing with new developments like the Brickworks Canalside and Upper Trinity Street, which are bringing in new residential units and amenities. These aren't just about housing; they include communal spaces, gyms, and even a hotel, making Digbeth even more appealing. These projects are set to continue construction in the coming years, signaling ongoing growth and investment.
Digbeth's proximity to Birmingham's city center and its excellent transport links make it a prime location for young professionals and businesses. The planned improvements to transport infrastructure, including the new West Midlands Metro line and HS2 Curzon Street station, will enhance its connectivity to other major UK destinations like London and Manchester.
This makes Digbeth an ideal place for those who want easy access to the city while enjoying a vibrant local community. The area is perfect for young professionals who crave the buzz of city life but also want a sense of community.
With all these factors, Digbeth is not just a place to live; it's a place to thrive. The ongoing developments and strategic location make it a smart choice for anyone looking to invest in property.
Sources: Aspen Woolf, Premier Construction News, Cole Waterhouse
5) Erdington is gaining attention for its affordable homes and excellent transport links to the city center
Erdington is catching the eye of many potential buyers due to its affordable property prices.
In 2023 and 2024, the average property price in Erdington hovered around £160,000, making it a budget-friendly choice compared to pricier Birmingham areas like Digbeth. This affordability is a magnet for first-time buyers and investors looking for value.
What makes Erdington even more appealing is its excellent transport links to Birmingham's city center. Just a quick 12-minute journey away, the area boasts frequent public transport services, perfect for those who work in the city but want to live somewhere more affordable.
Local government investment is also playing a big role in boosting Erdington's charm. With projects like a £7.5 million leisure center and plans for a cinema and restaurant quarter, the area is set to become even more attractive to potential buyers.
These developments are not just about convenience; they’re about enhancing the quality of life in Erdington. The new amenities are expected to draw more interest, making it a hot spot for those seeking a balanced lifestyle.
For anyone considering a move, Erdington offers a blend of affordability, convenience, and a promising future, making it a smart choice in the Birmingham property market.
Sources: HouseMetric, OneTouchInvestment, AspenWoolf
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6) Moseley is gaining popularity for its vibrant community and green spaces, attracting young professionals and boosting property values
Moseley is a hotspot for young professionals, thanks to its vibrant community and lush green spaces.
In recent years, property values in Moseley have seen a significant boost, largely due to its prime location and appealing amenities. The local economy is thriving, with a total economic output of £207 million in 2020, and a GVA per head that surpasses the Birmingham average.
The demand for homes in Moseley is climbing, driven by its unique demographic. The area boasts a higher percentage of working-age residents with NVQ4+ qualifications compared to the rest of Birmingham, making it a magnet for young professionals. Employment rates here also exceed the city average, further fueling this demand.
Green spaces are a major draw in Moseley. Moseley Bog, a beloved nature reserve, pulls in visitors from near and far, underscoring the importance of green spaces in the area. Community efforts to enhance access to places like Moseley Park and Pool show a strong local desire for more greenery, which is a key factor in the area's charm.
Sources: Moseley Ward Factsheet - Birmingham City Council, Moseley Supplementary Planning Document - Birmingham City Council, Moseley Bog Frequently Asked Questions
7) Acocks Green is gaining interest for its competitive property prices and convenient transport links to Birmingham and Solihull
Acocks Green is becoming a hot spot for property buyers due to its competitive property prices.
In recent years, the average house price in Acocks Green has been around £245,455, making it a budget-friendly choice compared to neighboring areas. This affordability is a magnet for those seeking value for their money. The area has also seen a steady increase in property values, with prices rising by 11% from the 2022 peak, signaling a robust property market that's attractive to both buyers and investors.
Acocks Green offers a variety of property types, from semi-detached homes to flats, catering to diverse buyer preferences. This variety further enhances its appeal, making it a versatile choice for different lifestyles and needs. The area’s convenient transport links are another major draw, providing frequent and efficient services to both Birmingham and Solihull, ideal for commuters.
Recent improvements in transport routes, like the Service A12, have significantly boosted connectivity, ensuring residents can travel with ease. This enhanced accessibility is a key factor in the rising demand for properties in the area. The combination of affordable prices and excellent transport options makes Acocks Green a smart choice for potential homeowners.
Sources: Rightmove, Rightmove, West Midlands Bus Users, Birmingham Homebuyer Group
8) Bearwood is gaining popularity for its affordable homes and proximity to green spaces, attracting young families
Bearwood is becoming a hot spot for young families because of its affordable housing and nearby green spaces.
In recent years, the real estate market in the Birmingham area, including Bearwood, has seen a noticeable uptick in property sales. This trend is expected to continue, as the National Association of Realtors predicts a rise in home sales by 2025 due to stabilizing mortgage rates and improved market conditions.
When you compare property prices, Bearwood stands out for its more affordable housing compared to nearby areas. This affordability is a big draw for young families who want to settle down without spending a fortune. Plus, the Birmingham Open Space Assessment from 2022 highlights the city's efforts to make green spaces more accessible, which is a major attraction for families who love outdoor activities.
Bearwood benefits from its easy access to green spaces, as noted in the Birmingham Open Space Assessment. These areas are open to the public, making Bearwood a great spot for families who enjoy outdoor time. Local initiatives like the Sandwell Green Spaces Strategy are also working to enhance educational activities for kids in these green areas, which is a perfect fit for young families.
With its mix of affordable homes and green spaces, Bearwood is becoming a magnet for young families. The area offers a lifestyle that balances cost with quality of life, making it an appealing choice for those looking to put down roots.
Local efforts to improve green spaces and educational activities for children align perfectly with what young families are looking for. This combination of factors is making Bearwood an increasingly popular choice for those seeking a family-friendly environment.
Sources: National Association of Realtors, Birmingham Open Space Assessment 2022, Sandwell Green Spaces Strategy Implementation and Business Plan 2022-2025
We made this infographic to show you how property prices in the UK compare to other big cities across the region. It breaks down the average price per square meter in city centers, so you can see how cities stack up. It’s an easy way to spot where you might get the best value for your money. We hope you like it.
9) Bournville is attracting buyers with its picturesque setting and strong community spirit, driving up property prices
Bournville is a hot spot for homebuyers because of its stunning landscapes and charming architecture.
Imagine living in a place where every corner is a postcard. Bournville's beauty isn't just skin deep; it's a place where residents feel truly at home thanks to its strong community spirit.
Here, community isn't just a word. It's a lifestyle. With numerous clubs and activities like sports, arts, and drama, there's always something happening, making it easy to connect with neighbors.
This sense of belonging is a big draw for people looking to settle down. It's no wonder that property prices in Bournville have been climbing steadily.
In fact, the average house price has now hit £305,171, reflecting the high demand for homes in this picturesque and community-focused area.
So, if you're considering a move, Bournville offers not just a house, but a home in a place where community and beauty go hand in hand.
Sources: House Prices in Bournville - Rightmove, Recap: 2025 Real Estate Forecast | ULI Philadelphia
10) Edgbaston is popular for its prestigious reputation and proximity to universities, offering strong rental yields
Edgbaston is a top choice for property buyers in Birmingham.
One big reason is its proximity to the University of Birmingham, which attracts a large student population eager to rent. This naturally boosts the demand for rental properties, making it a landlord's dream. In 2023, Edgbaston boasted a rental yield of 4.1%, a figure that's been climbing steadily, signaling a promising investment opportunity.
Over the past decade, property prices in Edgbaston have surged by 47%, making it a hot spot for long-term investors. This growth isn't just about numbers; it's about the area's appeal. Real estate agencies like McHugo Homes highlight Edgbaston's allure for higher-end buyers, with average asking prices hitting £992,332 in October 2024. This shows that Edgbaston attracts not only students but also professionals who value its amenities and excellent transport links.
Edgbaston's prestigious reputation is another draw. It's known for its leafy streets and elegant homes, offering a slice of tranquility while being close to the city's hustle and bustle. This blend of serenity and convenience makes it a magnet for those seeking a balanced lifestyle.
For investors, the combination of strong rental yields and rising property values is a winning formula. The area's ongoing development and its status as a desirable location ensure that demand remains high. Whether you're looking to rent out a property or settle down, Edgbaston offers a compelling case.
Sources: Select Property, McHugo Homes, Realestate
11) Kings Heath is gaining popularity with its trendy cafes and shops, attracting young buyers and boosting property values
Kings Heath is quickly becoming a hot spot for young buyers thanks to its trendy cafes and shops.
Imagine strolling down the streets of Kings Heath, where cafes like Gorilla Coffee Cafe and Kitchen Garden Cafe are buzzing with life. These spots aren't just about coffee; they host community events and offer unique treats that draw both locals and visitors. It's this vibrant scene that makes the area so appealing.
The influx of younger residents is reshaping the neighborhood. These buyers are looking for places with a lively vibe, and Kings Heath delivers with its energetic atmosphere. As more young people move in, the demand for homes rises, pushing property values up.
Social media is playing a big role in Kings Heath's growing popularity. Instagram is filled with shots of the area's photogenic desserts and lively community, making it a must-visit spot. This online buzz, along with glowing reviews on platforms like Google and Yelp, is putting Kings Heath on the map.
For those considering a move, Kings Heath offers more than just a place to live; it's a lifestyle. The neighborhood's charm lies in its ability to blend the old with the new, creating a unique environment that appeals to a younger crowd. The area's transformation is evident in its bustling streets and thriving local businesses.
As Kings Heath continues to evolve, it's clear that the combination of trendy cafes, a vibrant community, and a strong online presence is making it a sought-after destination. The neighborhood's appeal is only set to grow, attracting even more young buyers and further boosting property values.
Sources: Birminghambased.com, Rightmove.co.uk, Gorillacafe.co.uk
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12) Stirchley is attracting first-time buyers with its affordable homes and growing independent business scene
Stirchley is catching the eye of first-time homebuyers for its affordability and vibrant community.
One of the main draws is the development of affordable housing, like the Stirchley Co-operative Development, which is adding 39 energy-efficient homes to the area. These homes promise lower heating bills, making them a smart choice for budget-conscious buyers.
With property prices climbing in nearby neighborhoods, Stirchley stands out as a more affordable alternative for those entering the housing market. The overall cost of living here is also lower than in other parts of Birmingham, which is a significant advantage for many.
Beyond housing, Stirchley is buzzing with new independent businesses. The area is welcoming a variety of shops, including a bakery and a bicycle repair shop, which enhance the community vibe and offer convenient services to locals.
These new businesses are not just about convenience; they are part of a growing trend that makes Stirchley feel like a close-knit community. This atmosphere is a big plus for those looking to settle down in a place that feels like home.
For first-time buyers, Stirchley offers a unique blend of affordability and community spirit, making it an increasingly attractive option. The area's development is a testament to its rising popularity and potential for growth.
Sources: Stirchley Co-op, The News Co-op, Housing Digital
While this article provides thoughtful analysis and insights based on credible and carefully selected sources, it is not, and should never be considered, financial advice. We put significant effort into researching, aggregating, and analyzing data to present you with an informed perspective. However, every analysis reflects subjective choices, such as the selection of sources and methodologies, and no single piece can encompass the full complexity of the market. Always conduct your own research, seek professional advice, and make decisions based on your own judgment. Any financial risks or losses remain your responsibility. Finally, please note that we are not affiliated to any of the sources provided. Our analysis remains then 100% impartial.