This price differential underlines just one of the key drivers of the Birmingham market – its relative affordability compared to other markets in the UK, especially those in the South of England. As the UK’s second-biggest business hub, Birmingham draws comparison with London, the financial centre of Europe. However, when looking at residential property prices, the difference is striking, with newbuild development prices in some central zones of the capital ranging from £1,000 to £2,000+ per sq ft, compared to around £300 to £450 per sq ft in central Birmingham.
The affordability trend dovetails with the improvement in amenity and lifestyle in the city, making it a destination for young workers and families alike. Birmingham was the most popular city destination for those migrating from London in 2016 ahead of cities such as Manchester, Leeds and Bristol. The age breakdown of those arriving from London is also significant, indicating that, while a large number of those of student age are attracted to the city due to its high quality universities, a significant number of movers are also young workers and families. The number of home sales taking place in the city has dipped over the last year.
Birmingham average house price performance
Birmingham residential transactions