New research presented by leading UK property analyst Kate Faulkner OBE for the National Landlord Investment Show highlights how property prices and rents are performing very differently across the West Midlands, reinforcing the growing importance of understanding local market trends rather than relying on national headlines.
While national reports often discuss “the UK property market” as though it were one single entity, the latest analysis shows that performance can vary significantly between regions, towns and even neighbouring areas.
Kate Faulkner, leading UK property analyst for the National Landlord Investment Show, reviewed long and short-term property price and rental trends across the UK, England, the West Midlands, Birmingham, Coventry and Sandwell to identify which markets are performing most strongly and where growth is beginning to slow.
According to the analysis, property prices across the West Midlands remain considerably lower than UK and England averages, which could continue to attract investors and first-time buyers seeking better value for money.
Source: UK House Price Index summary: February 2026
In annual terms, Coventry recorded the strongest property price growth of the areas reviewed, with prices rising by 2% year-on-year. The West Midlands recorded growth of 1.6%, while Sandwell saw prices increase by 1%. Birmingham saw only modest growth of 0.7%.
However, Faulkner says annual figures only tell part of the story.
“What matters most when assessing a property market is how it performs over the long term,” she explained. “Short-term rises and falls can be misleading, particularly for landlords and investors who need to understand whether a property is genuinely delivering sustainable returns over time.”
The analysis found that since the market peak before the 2008 financial crisis, property prices in Birmingham, Coventry and particularly Sandwell have increased more than the wider UK and England averages. However, when inflation is taken into account, in real terms, prices have actually fallen.
Looking back further to 2005, Sandwell emerged as the strongest long-term performer, with average annual price growth of 3.4%, ahead of inflation over the same period. Meanwhile, the West Midlands and Birmingham recorded only modest real-terms growth, while Coventry, England and the UK overall saw price growth broadly in line with inflation. Faulkner says this is an important reminder for landlords to regularly review whether their investment properties are continuing to perform financially once maintenance, finance and ownership costs are taken into account.
The research also suggests 2026 could present opportunities for buyers and investors in some West Midlands locations. In Birmingham, for example, average property prices remain below 2022 levels following the mortgage market disruption and higher borrowing costs seen after the 2022 mini-budget. Combined with increased levels of housing stock coming onto the market, this could create opportunities for buyers looking for value.
Recent data from TwentyEA and Chris Watkin indicates there are ‘14.6% more properties currently on the market compared with the average over the last decade’, giving buyers greater choice and potentially improving negotiating power.
The rental market, however, tells a different story.
Source: Private rent and house prices, UK: April 2026
Unlike property prices, rents have continued to rise strongly in many areas. The analysis found annual rental growth across the West Midlands running at 4.8%, ahead of the UK average of 3.4%. Sandwell stood out in particular, recording annual rental growth of more than 10%, significantly above neighbouring areas. Coventry and Birmingham showed slower annual rental increases of 2.7% and 3.5% respectively, suggesting rental growth may now be beginning to stabilise in some markets.
Despite recent rent increases, Faulkner says long-term rental growth has generally tracked wage growth and inflation trends rather than dramatically exceeding them.
“Understanding what’s really happening to rents and property prices in your local area has never been more important for landlords, investors and tenants alike,” said Faulkner.
“National headlines often suggest rents are soaring everywhere, but the reality is far more complex and highly localised. While many tenants are genuinely struggling with affordability, part of the pressure on the private rented sector is also being driven by the shortage of social housing, with many households renting privately when they would traditionally have been housed in the social sector. With the Renters’ Rights Act now tightening compliance, it’s essential landlords understand how their properties are performing compared to the local market and whether their investments are still delivering the returns they expected.”
Kate Faulkner will present the full findings and analysis of the Birmingham property Market at the upcoming National Landlord Investment Show in Birmingham, Aston Villa, on 20th May 2026, including:
- Property price and rental trends across the West Midlands
- Inflation and landlord returns
- Forecasts for property prices and rents between 2026 and 2030
- Political and economic influences on the market
- Investment opportunities and risks across different West Midlands locations
The National Landlord Investment Show returns to Birmingham- Aston Villa (Villa Park) on 20th May 2026 and is a property event for landlords, property investors and developers. The event offers attendees a valuable opportunity to connect with expert property service providers, access expert-led legal Renters’ Rights training and hosts centre stage panel discussions on topics such as the biggest landlord challenges, Making Tax Digital, and key topical seminars. Plus, landlords can get questions answered at the Landlord Advice Clinic.
The National Landlord Investment Show, Birmingham, Midlands, is free to attend, but registration is required. Secure your free ticket now, as spaces are limited.