Looking to start flipping in Birmingham - Anyone else flip/invest there?

[Aaron Marks]

Hi everyone,

 

I am looking to buy a property to flip in Birmingham and was wondering if anyone else either flips or invests there? If so I wondered if they would be able to help me out with regards to areas to avoid, or potentially good areas to look at? By budget is really around the 100K - 120K mark and I am looking to make 20% profit at the end of the project.

 

I am currently analysing the area and viewing properties in various locations but obviously it is a big place and this can be very time consuming so I am looking to try and speed up my next deal and be more efficient with my viewings.

 

Any advice would be greatly appreciated!

 

Thanks in advance!

 

Aaron

[Eggbilly]

Aaron,

 

I am a new investor, just starting out in fact and have been looking at the South Birmingham area, particularly Yardley Wood & Warstock, as these have some pretty solid ex local authority housing stock at reasonable prices - in the £120-£130k range.

 

Schools are close by (plenty of them) and there are excellent transport links to Birmingham City Centre and Redditch and there are train links to Stratford upon Avon. It's also within easy stricking distance of the QE Hospital.

 

I've noticed in the matter of just a few weeks since I started looking, that prices are not just creeping up, they seem to be rocketing up. This happened years back when typical prices were typically £40,000 for a 3 bed semi. An agent at the time told me that they would always be around that figure.

 

Then they jumped to 70 and 80K, then 100, then 120, then they fell back during the recession, but have now recovered and the average is in the £120k mark - but I've seen some pretty average stuff being advertised at £170k, which is way above what I feel they are worth.

 

One to do up would probably be in the £100-£120k region, so for a flipper at that price,  it might be worth a look, if decent prices are commanding considerably more.

 

Postcode area B14 - Warstock offers some great opportunities. Avoid going further towards Birmingham into Chinnbrook Road area, as those properties are concrete construction with known defects, making it very difficult to get mortgages.

[Aaron Marks]

Thanks for the reply and the advice! Some really good info there. 

 

I have also noticed that the prices seem to be rapidly increasing, as also mentioned by estate agents I have spoken to. Brexit seems to have had very little effect!

 

I will have a little look in those areas and let you know how I get on. Also if you find any good deals, I would be happy to pay an appropriate sourcing fee if you pass them on?

 

Thanks again for the info!

 

Aaron

[Eggbilly]

Glad to help Aaron. Of course, there are many other decent areas in and around Birmingham.

 

Personally, I wouldn't rule out Redditch - lots of employment, hospital, schoools, shopping centres, parking etc make it a  nice location that is often overlooked by investors. 

 

Thanks for the offer of a sourcing fee, but I'm just starting out and wouldn't know a good deal if it hit me in the face! That's why I'm here

 

Regards

 

David

[sarah Ferris]

Hi Guys

 

I  am also looking for flippers in Birmingham. I should say I have never been to Birmingham. When I mentioned that to an estate agent yesterday she was incredulous, like I had missed one of the seven wonders of the world, well,  until I mentioned I am originally from New Zealand and now live in London (surprised she didn't pick up on the not so subtle accent!) Anyway I digress, I  have properties in London but now, after much research, have narrowed down my next investment to Birmingham. This comes down to commutable distance and lower prices to invest. However as I have never been I am also looking for tips on great areas. I want a flip too so if you have any other good tips let me know.

 

And interested to hear how you progress with your projects so please keep posting.

 

Sarah

[haf1963]

I operate in the birmingham area and have a number of BTL's. It would be great to have a meetup so will keep an eye open for that.

Birmingham is a huge area and there are lots of pockets of good/bad areas covering the spectrum of  low yield high appreciation to high yield low appreciation and everything in between. There are a number of area that are very popular with investors and its impossible to get much by way of BMV - especially as there are quite a few established cash buyers to compete with. I've looked at flipping but given the stamp duty and other changes, it doesn't really stack up at the low-end (circa 100k) price range and i would suggest you need to be north of 150 and the refurb will need to include something like a kitchen extension and/or loft conversion to make the project worthwhile

[lovecat]

Hi all, nice to be here....

I have been reading your most interesting ideas on Birmingham. I have in fact been to college there many moon years ago but now in London. I am extremely keen to stat up a flipping business. I have looked at some properties (online) in Quinton and Bearwood areas and prices seem very reasonable but I guess those are not the most desirable areas ..?! I was studying there back in the 1990's hence so much chnaged and I feel like I dont know Birmingham anymore... Please help.

ALSO: could we all set up a Zoom or Teams meeting soon? I think it would be great to exchange ideas and meet. I am KEEN!

Very much looking forwrad to hear from you

Best regards - stay well, D

Derya