Property investment stats for Birmingham, West Midlands

• Strong rental demand is underpinned by a large student population in the 95th percentile and a high proportion of families in the 85th percentile.
• The city offers attractive average rental yields of 6.8%, with the top-performing district at 8.2%.
• Properties are relatively affordable compared to other large cities, with a price-to-income ratio of 4.8 and a median price per square foot of £260 per sq ft.

• The unemployment rate is in the 99th percentile, which may impact both rental demand and tenants’ ability to pay reliably.
• Owner-occupancy is low (18th percentile), and the private rented sector is large (73rd percentile), which can mean more competition for tenants and potentially more transient demand.
• The median discount of £1,500 (the typical achieved discount) suggests buyers have some negotiating power, which could affect short-term resale values.

Looking ahead, Birmingham’s fundamentals suggest steady performance. The city’s population is young, with a high proportion aged 20-30 (87th percentile), which should support ongoing demand for rental properties. Capital growth has changed by 0.9% in the last year, but the three-year trend is more encouraging at 9.6%, with an annualised rate of 3.1%.

Liquidity remains healthy, with properties spending an average of 46 days on the market and annual sales at 8,185. While affordability is a relative strength and rental yields are compelling, investors should watch for shifts in employment and the balance between owner-occupiers and renters in the city.