• The rental market in Birmingham offers plenty of investment opportunities to investors who want to cater to holiday lets and student accommodations. Thanks to this, many Airbnb hosts were able to obtain a good cash-on-cash return.
• Using the dynamic data provided by Airbtics, we could gather the best buy to let areas in Birmingham. We will also feature the best property types you can get, their estimated annual revenue, gross rental yields and more.

Introduction

The second biggest city in the UK, Birmingham, is located in West Midlands, England, and is beautifully surrounded by the Lickey, Clent and Walton hills in the southwest area. This vibrant city is known for its history as it played an important role during the industrial revolution and also for being an iconic commercial center.

With plenty of places of interest and a fascinating cultural and architectural heritage, Birmingham is an exciting destination to visit and has nothing to envy other cities. On top of that, Birmingham offers attractive property investment opportunities that can easily draw real estate investors’ attention.

But before taking a significant step in this journey, investors should do an exhaustive investigation and set clear goals in order to make informed decisions that will guarantee their investment success. This is an essential consideration that must not be missed, especially if you’re aiming to start an Airbnb business in the UK, particularly in Birmingham. 

So you may be wondering “where should I invest in Birmingham?” – Let us lend you a hand! 

In this article, we will reveal the best areas to invest in Birmingham along with some of the main reasons why you should consider investing in a rental property in this city. Have we gotten your attention? Then you should keep reading!

Why should you consider investing in rental properties in Birmingham?

Birmingham is an attractive city filled with unique experiences as well as investment opportunities that can entice property investors easily. However, it’s always good to consider the advantages the real estate market can offer to real estate investors to get a better overview of the city’s conditions.

Make sure to check out some of the reasons why investing in a property in Birmingham is a good idea to earn a good passive income:

• Diversified economy with plenty of job opportunities

Birmingham enjoys one of the biggest and most diversified economies in England with a wide range of industrial sectors. Some of its key industries are financial services, manufacturing, technology, health care, tourism and education. 

The city is home to many national and foreign companies and organizations and there’s a variety of developed industries and an emergent entrepreneurial ecosystem. Thanks to this, Birmingham also offers a plethora of employment opportunities.    

• Enjoy Birmingham’s living conditions 

We can deny that Birmingham is quite a lovely city and the best part of living or visiting the city is that you can easily enjoy a high standard of living. The city spares no effort in offering great amenities such as green areas, shopping centers, sports and cultural facilities, and a wide variety of excellent restaurants and bars. Of course, we can’t forget to mention that the city also enjoys a strategic location in the UK, which is why is regarded as a major transportation hub.

In addition, many renowned universities and educational centers are settled in Birmingham. This means that there’s an important student demographic in the city and that, investors looking to cater to short-term lets, may find interesting. 

• Low cost of living

While Birmingham is one of the biggest cities in the UK, second only to London, the cost of living is fairly affordable compared to the capital city. The best part is that you still get to enjoy high-quality amenities on a low budget. 

The housing and rental markets offer a variety of options at different prices that can easily fit your needs. However, it’s important to consider that the property value can highly differ depending on the location. The average property price in Birmingham is £274K as confirmed by Rightmove. 

• Enjoy the unique charm of this city

Welcome to Birmingham, a city that can easily make you fall in love! And no, we are not lying because this city offers a vibrant yet cozy atmosphere that will make you feel at home. Plus, there’s always something up in here, so getting bored is not even an option. There’s a wide range of cultural, historical, and entertainment attractions scattered throughout the city. 

Birmingham is also a paradise for music lovers considering that iconic bands like Black Sabbath and Led Zeppelin were born. Moreover, the city hosts plenty of festivals and music events all year round! 

Aside from its plenty of leisure options, we should also take into account that Birmingham is an important tourist destination. In fact, just in 2022, the West Midlands, especially Birmingham, welcomed around 141.2M visitors! 

Is Airbnb profitable in Birmingham?

Thinking of investing in properties in Birmingham to list them on short-term rental platforms? Airbtics supports you on this business idea because this city can help investors like you obtain a steady source of passive income.

Are you still having doubts about Birmingham? Let us appease your concerns a little. According to Airbtics’ calculator data, Airbnb hosts can earn an average revenue of £28,174 with a median occupancy rate of 56% for operating a 2-bedroom apartment in Birmingham.