A new report commissioned by Berkeley shows that Birmingham is rapidly strengthening its position as one of the UK’s most compelling destinations for property investment. With strong price growth, rising rental demand and billions of pounds of infrastructure investment, Birmingham is set to challenge cities such as Manchester and London.

In fact, the report, commissioned by Berkeley and prepared by PriceHubble, shows that Birmingham is projected to see proportionally more price growth than either city over the next four years, while still retaining its cheaper house pricing.*

The past decade has also shown proportionally more growth: average new-build prices in Birmingham have risen by 57%, significantly outperforming London, where growth has reached 25% over the same period.

Rental performance reflects this demand. Average rents in Birmingham have increased by 37% over the past five years, with a further 14% of growth forecast by 2030. At the same time, average apartment yields have risen significantly, from 4.5% in 2021 to 8.1% in 2026, outperforming both London and Manchester and highlighting the city’s strong income potential for investors.

This growth is being reflected in developments such as Glasswater by Berkeley. The canalside development in Birmingham’s Eastside sits at the heart of Birmingham’s £4 billion Knowledge Quarter, a major innovation district designed to drive long-term economic growth.

The development is also set to benefit from forthcoming HS2, with the new Curzon Street station just a short walk away, a project which is expected to deliver a £10 billion economic boost to the West Midlands by 2034, alongside nearly 31,000 jobs.

In fact, the West Midlands has become the UK’s leading destination for inward investment outside London, securing 130 foreign direct investment projects in 2024–25 alone.

This harmonises with the city’s growing reputation: in 2025 Birmingham was ranked the 13th best city to visit in Europe by Time Out, while the West Midlands welcomed a record 101.5 million visitors in 2024.**

Stephen Kirwan, Managing Director, said, “Birmingham is undergoing a period of sustained transformation, with investment in infrastructure, employment and regeneration driving long-term growth. For buyers and investors, the city offers a compelling combination of strong fundamentals, relative value and future potential, which is increasingly positioning it alongside other major UK cities.”

Reece Parkinson, Founder & Director of Birmingham-based company Swift Property, added, “The market in Birmingham over the past five years has been phenomenal. We’ve seen huge spikes in demand and significant growth over that time.

“With new developments like Glasswater Locks coming on to the Birmingham scene, there’s been a massive boost to the housing quality in the area. As a result, we’ve seen a wider range of purchases being drawn to the city. The high quality and luxury feel of developments like this are significant factors in enhancing the Birmingham rental market and helping the city challenge both London and Manchester.”

Set alongside the Digbeth Canal in the city’s Learning Quarter, Glasswater Locks offers a collection of one- and two-bedroom apartments within a new waterside neighbourhood close to the future HS2 Curzon Street station and Birmingham city centre. The development also boasts a selection of exclusive resident facilities including a new Hyrox gym, cinema and gaming room, lounge and coffee bar as well as a 24 hour concierge.

Prices start from £212,000. For more information, visit Glasswater Locks.

*PriceHubble, Glasswater Locks, Birmingham, April 2026.

**Birmingham is Officially One of the Best Places to Visit in Europe in 2025, According to Time Out

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