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Birmingham property news

October 2009

Knight Frank’s Birmingham estate agents, covering the prime city centre as well as country houses from Derbyshire in the north, to Warwickshire in the south, has seen a recent rise in buyer activity.

Markets, however, remain challenging with certain areas performing more strongly than others. The rapid decline in house prices may have steadied, but sensible pricing remains key to achieving a successful sale.

A number of interesting trends are starting to emerge as the Birmingham property market begins to show some signs of recovery.

Clear differences can be seen across the various counties with Derbyshire remaining particularly resilient. The market, however, in areas such as Staffordshire and Shropshire, which are more susceptible to the declining fortunes of the urban conurbations, is more subdued.

Houses for sale

In Birmingham itself, supply in the best suburbs remains extremely tight and continued demand for the limited number of properties available has helped to prevent prices from sliding at the same rate as for the city as a whole. Although we are definitely seeing more activity from buyers, they remain price sensitive and properties that do not look good value or are in some way disadvantaged will struggle.

People are also looking at a greater number of houses for sale and viewing individual properties more times before committing to an offer. However, when a desirable house is pitched at the right level we are starting to see the re-emergence of competitive bidding.

The most confident buyers at the moment seem to be entrepreneurs or board-level executives who obviously feel that the economy is showing some signs of recovery. We are yet to see professionals such as solicitors or accountants back in the market to such an extent.

While the Birmingham property market is undoubtedly in better health than it has been for some time, the spring of next year is when activity should really start to get going again with a big improvement in supply and demand.