Commonwealth Games predicted to win Birmingham a property gold medal

House prices in Birmingham are expected to rise the most of any city in the UK, boosted by the Commonwealth Games.

Property consultants JLL predict that over the next five years the average home in the ‘Second City’ will rise by 4.9% pa, thanks to a number of infrastructural and cultural developments. Rental values will rise by 2.8% pa.

The forecast cites the 2022 Commonwealth Games as being key force behind this anticipated growth. Not only will the Games thrust the city onto the world stage driving profile and demand, but preparations for the tournament have brought thousands of high earning jobs to area.

These jobs, combined with another swathe of professional vacancies coming to the city thanks to the relocation of several civil service jobs, has meant that the appetite for relatively high-end property is rising dramatically.

This demand will, in part, be satisfied by the 5,000 new homes being built in Perry Barr as part of the Commonwealth Games’ legacy.

But despite this, demand is still set to outweigh supply.

The £750m of investment set aside to ensure the legacy of the Games will make the surrounding area considerably more attractive to buyers, says JLL.

Meanwhile, Birmingham will be one of the major beneficiaries of the long-awaited completion of HS2.

Nick Whitten, JLL’s head of UK residential research, said: “Birmingham is the next urban frontier for prospective buyers and investors alike. Thanks to the Commonwealth Games – along with other major developments in the city – Birmingham’s cultural, economic, practical and professional offerings will all improve dramatically over the next five years – and our residential predictions reflect that.

“To put the mightily impressive 4.9% year-on-year rise into some context: if you were to buy a house for £500,000 tomorrow, you can expect it to be worth upward of £635,000 come the end of 2026.”

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