The Midlands comprises the area of Central England. It includes the cities of Birmingham, Coventry, Leicester, Nottingham and Stoke on Trent. In this blog we’re looking at Property Investment in the Midlands.
It was central to the Industrial Revolution. To this day accounts for more manufacturing output than the rest of the UK.
The aerospace sector alone accounts for 3% of global output.
Research carried out by Paragon has shown that landlords in the Midlands are set to drive the buy-to-let market. 24% of landlords surveyed in the East Midlands said they would be investing in property in the coming months. 22% in the West Midlands would be, significantly ahead of the rest of the UK. There’s an interesting article here
But why would a property investor invest in the Midlands?
Yields are strong: East Midlands 5.4%, West Midlands 5.1%
A strong economy with investment through the Midlands Engine and HS2
Birmingham, the UK’s second city, at the heart of the Midlands
Birmingham is the second largest economic hub in the UK and is rapidly becoming the UK’s tech hub. Its economy is worth £24 billion and has enjoyed growth of 19.2% in the last five years.
With a student population of 65,000 it also has among the youngest populations of any UK city. That means high demand for property so the opportunities for investors are clear. In the long terms HS2 investment also presents opportunity for the city and wider Midlands area. So good investment prospects as house prices increase and the value of property portfolios and rental yields goes up
In Nottingham the student population of around 65,000 people lives in the city and its suburbs. This population often stays to work in the growing tech industry. Future-oriented industries are taking hold. As well as tech, financial services, advanced manufacturing, clean technology, life sciences and digital are all growing. Not bad for a city that has its roots in lace making, bicycles and pharmaceuticals. To support this parts of Nottingham have been designated Enterprise Zones to encourage exciting new start-up businesses including med-tech.
With a fledgling digital economy, a rapidly growing population and as an integral part of the Midlands Engine programme, Coventry also has much to offer the property investor. Demand for rental property is increasing as the population and economy grows, so this city is another area to consider in the Midlands.
The Midlands is subject to investment through HS2 and the Midlands Engine programme. It has a growing populations and increasing demand for housing whilst starting from a base of relatively low property prices. Great news for the savvy property investor .
The team at Hawkhurst Invest carries out due diligence on all of the properties that we make available to our clients. We will work with our clients to match the most suitable properties to their portfolios.
The Midlands is an area of considerable growth and opportunity, and we believe that these opportunities can be realised by both the seasoned investor and those people who are starting out on their property investment journey.
We are of course living through the Coronavirus Pandemic and we are mindful of this. To help with statistics and analysis of the Midlands economy the Midlands Economic Forum has published its latest insights report
For more information and to discuss the opportunities please leave your details and a member of our team will be in touch or visit our website