Since the early 2000s, Birmingham has been undergoing a multi-£billion transformation that will position it as one of the UK’s most exciting destinations for property investors.
In recent years, cities like Manchester and even Liverpool have undergone major redevelopments which has seen them become hubs for property investment, but Birmingham is now stepping firmly into the spotlight.
Called “The Big City Plan”, Birmingham City Council has undertaken a wave of ambitious redevelopment, major infrastructure upgrades, all designed to attract and encourage young professionals, many of whom stay after completing their higher education at the city’s universities.
Robert Hallums and Sarah Mottram from Experts for Expats and Henry Shaw from BuyAssociation had a conversation in May to discuss Birmingham’s growth and why the city is gaining serious traction among investors.
Robert, who lived in Birmingham between 1998 and 2001, described the city’s evolution as ‘mesmerising’. ‘When I returned a few years ago,’ he said, ‘it had gone from grey and gritty to sleek, modern, and vibrant.’
This article looks at a few of the key reasons why Birmingham is the UK’s rising star for property investment. As with any financial and property investment decisions, this article does not constitute advice and you should always seek independent advice from a specialist before making any decisions.
Birmingham’s property investment opportunities
Henry, a chartered surveyor and property development specialist, pointed out that Birmingham consistently ranks high in Deloitte’s Crane Survey - a measure of urban development activity based on the number of cranes visible at any given time.
Major global investors from around the world (US, Middle East and Asia), are putting vast amounts of capital into Birmingham’s commercial real estate.
City districts like Digbeth, Broad Street, and the Snow Hill business quarter are undergoing dramatic regeneration. Henry explained how this targeted redevelopment, supported by proactive city planning, is creating a modern and appealing urban environment.
Affordability mixed with modernisation and corporate investment
Affordability is a major draw for property investors in Birmingham.
With a house price to earnings ratio of just 6.3 (compared to London’s 12.5), Birmingham remains accessible both to investors and the local population ensuring long-term demand and liquidity.
The city’s student population of over 100,000, coupled with a 51% graduate retention rate, makes it a talent magnet and it’s no surprise that firms like HSBC, PwC, and Goldman Sachs are setting up offices there.
The affordability benefits of Birmingham, combined with a significant younger population of potentially high skilled employees creates an environment of high-demand, high-yield property investment opportunities. It is not unreasonable to expect returns of between 5% and 7%.
The ever improving social life, including in and around Digbeth, Brindleyplace.
Infrastructure and transportation
The arrival of HS2 into the brand new Birmingham Curzon Street station will cut journey times from Birmingham to London to just 49 minutes. While this is some way off being completed, the expected impact on property prices leads to expectations that any capital investment now will provide incredible capital growth within a 10 year period, likely outstripping the rest of the UK and London.
This vastly improves the city’s international credentials and positions it as a compelling alternative to London being closer to major hubs further north such as Manchester, Leeds and Edinburgh.
With Birmingham International Airport expanding its reach globally and the nearby National Exhibition Center (NEC) add to its appeal as a business and travel hub.
New builds and period conversions
Henry also highlighted a unique investment opportunity: a redevelopment of a historic law chambers near Snow Hill.
Unlike standard new builds, this project blends period architecture with modern design. Original features like iron gates, stone façades, and a central courtyard offer investors a chance to own something truly distinctive - with lower service charges and fewer restrictions than listed properties.
Why consider investing in Birmingham now?
With interest rates expected to continue to fall and economic confidence improving, 2026 looks to be a favourable year for completing on property investments.
Sarah Mottram emphasised the hands-off nature of many of the new property investment opportunities, noting that full management services and high tenant demand make them ideal for overseas investors seeking reliable returns.
Should you invest in Birmingham?
Over the past 20 or so years, Birmingham has moved far beyond its traditional industrial roots. It is now considered a major city of culture, business, and lifestyle, worthy of its status as the UK’s Second City and is therefore ripe for property investment.
Aligned with key principles of property investment, ongoing major redevelopment, and world-class infrastructure projects nearing completion, it offers a powerful mix of affordability and growth potential.
If you would like to speak to someone about property investment in Birmingham, or get information about property investment opportunities in the UK in general, we can help.
We are not tied to any particular developments and our independent partners can discuss the pros and cons of property investment as part of your overall portfolio.
Request an introduction to one of our trusted partners and they will contact you to set up a free discovery call to understand more about your situation and answer any questions that you may have.
