Best Places to Live in Birmingham in 2026

Tenant demand is the fuel for any successful buy-to-let property investment. As Birmingham, the UK’s fastest-growing major regional city, continues its rapid transformation, identifying postcodes with critical undersupply and massive growth potential is paramount.

With reputable forecasters projecting a cumulative property value increase of 24% across the city by 2029, investing in the best places to live in Birmingham in 2026 means securing consistent tenant demand and capital appreciation.

Below, we explore the prime districts in England’s second city, detailing what makes them such compelling areas for investment and living right now.

City Centre

The City Centre remains Birmingham’s engine room, consistently ranking as one of the best places to live, particularly for the expanding pool of young, high-earning professionals. The corporate influx of global finance giants continues unabated. The city core is now home to major national hubs for Goldman Sachs, PwC, and HSBC, creating thousands of high-value roles and underpinning exceptional tenant demand.

Crucially, major regeneration schemes are reaching maturity:

Paradise Development: The final phases of this £700 million mixed-use scheme are expected to complete in 2026, delivering cutting-edge commercial spaces, premium retail, and high-quality public squares that dramatically enhance the city’s liveability.

Exceptional Returns: The concentration of new, high-specification Build-to-Rent (BTR) developments ensures strong performance. Postcodes like B2 (Central Business District) and B1 (Southside) consistently deliver some of the city’s highest rental yields, with some areas pushing close to 7.0%. The demand for modern, amenity-rich city living is forecast to far outstrip supply for the foreseeable future.

For investors seeking secure, immediate rental income driven by a robust professional demographic, the City Centre is an essential target.

Jewellery Quarter

Steeped in history with over 200 listed buildings, the Jewellery Quarter (J.Q.) offers a distinct blend of intimate, community-led living with immediate access to the City Centre. This unique character makes it perpetually desirable to young professionals and creatives.

The J.Q. continues to be an investment hotspot, evidenced by its high rental yield postcode B18 (Hockley, Jewellery Quarter), which regularly features among the top three in the city. The new residential pipeline is focusing on high-end BTR and luxury conversions that integrate with the area’s heritage:

Residential Influx: Significant developments are moving forward, including a £150 million build-to-rent scheme featuring over 500 apartments alongside retail and new public spaces, showcasing major institutional confidence in the area.

Enhanced Connectivity: The dedicated Midlands Metro tram stop and proximity to the new business districts ensure the J.Q. maintains its appeal to those seeking a unique, laid-back vibe without compromising on commuter convenience. The continuous stream of independent shops, bars, and Michelin-star dining venues guarantees its continued cultural vibrancy.

Digbeth

Once hailed as the ‘coolest neighbourhood in Britain’ by The Sunday Times, Digbeth is now evolving from a bohemian district into Birmingham’s strategic new creative and media hub, making it one of the most exciting areas for forward-looking investment in 2026.

The entire neighbourhood is undergoing a £1.9 billion transformation, catalysed by two monumental projects:

BBC Relocation: The BBC’s planned move of its regional headquarters from the Mailbox to the upcycled Typhoo Tea Factory in Digbeth is the single biggest driver of commercial and residential demand. The move, expected for completion in 2027, is already creating an ecosystem of media businesses and creative talent that require professional rental accommodation in 2026.

Smithfield Regeneration: Construction is slated to kick off in earnest in early 2026 on the massive Smithfield masterplan. This project will deliver over 3,000 new homes, a vibrant new cultural quarter, and the relocated historic markets, effectively extending Birmingham’s core to the East and cementing Digbeth’s status as a major residential hub.

This transition from industrial heritage to a global creative quarter means Digbeth offers investors the chance to buy into an area at a critical point of value uplift.

Brindleyplace

Brindleyplace offers luxury waterfront living in an immaculately maintained district that is home to some of the city’s largest employers.

This area remains synonymous with affluence and quality. The presence of major corporate occupiers like Deloitte and Deutsche Bank guarantees a constant stream of high-calibre tenants. Ongoing local regeneration, such as the conversion of unused canalside buildings into new residential and commercial spaces, ensures the area stays fresh and highly desirable. With the 2022 Metro stop now fully integrated, connectivity is seamless, making this a top choice for professionals seeking a premium, walkable lifestyle.

Eastside

Eastside is fundamentally defined by its proximity to the UK’s most significant infrastructure project, securing its long-term future as a key transport nexus and residential quarter. While the operational date for the London-Birmingham HS2 line has shifted, the transformative construction of the Curzon Street Station remains a 2026 priority, with major structural milestones expected.

Catalytic Regeneration: The station acts as the primary catalyst for the £724 million Curzon Investment Plan, which is actively delivering up to 4,000 new homes and vast commercial space across the area.

Student and Graduate Demand: Eastside is home to two major educational institutions – Aston University and Birmingham City University – creating an unparalleled pool of student and graduate tenants. The development of high-specification build-to-rent schemes, such as the major skyscraper at One Eastside, caters directly to this demographic, ensuring exceptionally high occupancy rates.

For investors focusing on long-term capital growth and robust tenant streams from education and transport links, Eastside represents a prime strategic investment.

Edgbaston and Harborne

These neighbouring suburbs represent the aspirational choice for established professionals and families, combining green space and village atmosphere with unparalleled city accessibility. Edgbaston, in particular, is undergoing its own large-scale, luxury rejuvenation, reinforcing its status as one of Birmingham’s most affluent postcodes.

New Garden Square: This £330 million development is transforming an 11-acre site into a mixed-use neighbourhood, delivering up to 1,600 new homes, Grade A office space, and retail, all centred around beautifully landscaped public gardens. This level of investment is driving up property values and attracting premium tenants.

A-Rated Schools and Lifestyle: Harborne, with its diverse, high-quality high street and celebrated independent eateries (like Harborne Kitchen), continues to attract families. Both areas benefit from excellent transport links via the extended West Midlands Metro, connecting the suburbs directly to the City Centre and beyond.

These postcodes offer security and capital appreciation driven by lifestyle factors, professional migration, and a premium property stock often preferred by longer-term renters.

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Bournville

Bournville, founded by chocolate magnate George Cadbury, is celebrated as Birmingham’s quintessential garden suburb. It is highly popular with families and older professionals due to its beautiful preservation and strong community focus.

Bournville’s property value is uniquely protected by the Bournville Village Trust (BVT), which manages a large portion of the housing stock and estate, ensuring meticulous upkeep and adherence to strict design guidelines. This protection from overdevelopment and preservation of green spaces keeps demand exceptionally high and supply naturally constrained.

Exceptional Liveability: The area is renowned for its green, open spaces, excellent local amenities (including the popular zero-waste supermarket, The Clean Kilo), and, most critically, access to some of the city’s best schools (both public and private).

Tenant Profile: The area attracts established families and long-term professionals who are willing to pay a premium for the unique, quiet, and high-quality lifestyle offered by the village aesthetic.

Investment Angle: Investment in Bournville is generally low-risk, focusing on long-term capital growth and stable tenancy rather than high rental yield. The properties are typically houses rather than flats, making them ideal for the family-letting market. The high demand for housing managed by the BVT, which has currently paused new registrations due to overwhelming interest, underscores the deep and consistent desire to live in this unique postcode.

Solihull

Solihull is not technically part of the Birmingham city boundary, but it remains one of the most desirable commuter locations in the wider West Midlands, often rivalling the most affluent postcodes in the city itself. It appeals to professionals who seek high-end suburban living with exceptional connectivity.

Corporate & Infrastructure Hub: Solihull hosts major employment centres like the NEC (National Exhibition Centre) and Birmingham International Airport. It is also a key base for major corporate brands like Gymshark and Lounge.

Commuter Convenience: With train services connecting Solihull station to Birmingham New Street in under 10 minutes, it is the ultimate commuter haven. This connectivity will remain a significant driver of high rental values, attracting tenants who value quick access to Birmingham’s growing Central Business District.

Premium Housing Market: Unlike Birmingham’s BTR-heavy city core, Solihull’s stock is dominated by larger, detached and semi-detached family homes. This provides a more stable investment profile geared towards long-term capital appreciation and high-net-worth tenants.

Birmingham FAQ’s

Where are the best places to live in Birmingham? Plus Icon

Birmingham’s diverse neighbourhoods offer something for everyone – however, neighbourhoods such as the historic Jewellery Quarter, up-and-coming Digbeth, and family friendly Edgbaston and Harborne remain popular choices to name a few.

What is the safest area in Birmingham? Plus Icon

According to the CrimeRate website, Edgbaston is the safest area of Birmingham, exhibiting 68 crimes per 1,000 people, which is far below the Birmingham and national average.

Where is the best place to buy a house in Birmingham? Plus Icon

This entirely depends on your needs – if safety is a priority, Edgbaston’s low crime rate makes it a great option. If local regeneration and capital growth matter to you, look for properties in Digbeth, which is experiencing swathes of investment. For families looking for larger homes in a village-like environment, Harborne is an excellent choice. For young professionals looking for a swanky home which offers great access to the city centre, opt for properties in the Jewellery Quarter. If in doubt, get in touch with our Birmingham-based team for more tailored advice: we’d love to help!

Is Birmingham a good place to invest in property? Plus Icon

When it comes to buy-to-let property, location is key. The Birmingham property market has become an investment goldmine over the years, with its impressive past performance, high rental yields and relatively affordable prices making it one of the best places to invest in property.

Birmingham property prices are currently averaging £228,000 with an average rental yield of 5.21% – considerably less than London’s average prices of £561,587 and lower yields.

The second city’s exciting future, which includes the completion of HS2, Smithfield Regeneration and Big City Plan, is forecast to push property prices up 19% by 2028.

With undersupply creating a competitive market, demand is at an all-time high for Birmingham buy-to-let investment and will only increase alongside a rising population.

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