What has the Commonwealth Games meant for the West Midlands property market?
The 2022 Commonwealth Games were, as we’re sure you know, held in Birmingham. The 72 Commonwealth nations sent more than 5,000 athletes to participate in 280 events across 20 sports. Australia emerged as the winner, pipping England to the most golds by two. Canada brought up third place.
All things considered, we found it to be a huge success (aside from all the clogged-up motorways). But then it got us thinking – what will the Games’ lasting legacy be? Will people remember it as millions of pounds spent on a good show? Or will it benefit the local community and housing market?
Here, our managing director, James Quinn, shares his thoughts…
How the Commonwealth Games might impact the property market
I’ve got to hand it to them; Birmingham City Council did a tremendous job. As the years led up to the Games, they were constantly hit with new controversies and sideswiped with the COVID lockdowns. Many couldn’t envision how they could possibly stick to the budget, especially when they were already in debt. Pull it off they did, though (with a bit of help in the form of huge grants from the Government). Perry Barr got a complete makeover to build the Athlete’s Village. The Alexander Stadium, used for most athletics events, eventually got a complete renovation.
It wasn’t just Birmingham. Other parts of the West Midlands looked after various events. Cannock Chase hosted the mountain biking, while Coventry Arena had rugby sevens, judo and wrestling. The Sandwell Aquatics Centre was even purpose-built for the Games. The significant public sector investments across the West Midlands have potential. Sure, they made the Commonwealth Games what they were – but now they aren’t lying empty. No white elephants here. For example, local sports teams now use the Alexander Stadium, providing a genuine service to the local community.
Why mention all this? Because improved local facilities drive a higher quality of life. The area is likely to become more desirable, which in turn means higher property prices. As of June 2022, house prices have risen 6.6% from the previous year (ONS). This growth isn’t as high as in some areas, but it’s average. House prices remain at approximately the UK average, too. Of course, nothing’s quite that simple – but the potential is there.
Long-term considerations for property in Birmingham and the West Midlands
I’ve seen how the cost-of-living crisis has affected residents of the West Midlands. It’s a tricky line to toe. The more we stop spending, the worse the effects will be – yet we can’t afford to splash out. It (along with the various other catastrophic global events) means mortgage rates and utility bills are rising. The result will almost certainly mean property price growth reduces. That applies to all areas of the country, not just the Midlands.
The impact of the Commonwealth Games depends entirely on local authorities. It’s crucial for them to maintain the image presented for the Games and look after the renovated/purpose-built facilities. If they do this, fantastic. More people keep moving to the area, driving your home’s value up. If they don’t, residents will leave, reducing the likelihood of growth.
Buying a home in the West Midlands
The West Midlands is home to some of the country’s most diverse cities. Birmingham, Wolverhampton, and Coventry are what spring to my mind first. They’re a combination of cultures from around the world and have unique identities of their own. Living in the West Midlands gives you access to all this. It also means you aren’t too far away from anywhere (apart from the seaside). London is two hours away, as is Manchester, Yorkshire, the South-West, East Anglia, Wales, and so on.
Now is a great time to move here. With housing prices average for the UK, it’s a good way for first-time buyers to get on the property ladder. The local investment means the property market has the best chance possible in the coming months and years. Purchasing a desirable home will be one of the best ways to weather the coming storm. Of course, before you do that, you should consider getting a RICS home survey.
This crucial step means you know exactly what you’re buying and won’t find any nasty surprises the day after you collect the keys. I’ve surveyed hundreds of properties throughout the West Midlands and the rest of the UK. If you’d like to get in touch with me, I’d love to hear from you. You can find my contact details on the relevant page of our website.
