Some people may think that the cost of Student Accommodation in Birmingham is expected to become a rise and fall in the coming years. However despite the soon to be realised course fee rises, the requirement for student accommodation in the UK was interpreted as ‘booming’ in 2011! The division was identified as the ‘best performing property investment sector’ in a broadcast produced by the market leading letting agency Knight Frank (Published May 2011). They also write that the “total returns in 2010 for student accommodation in the regions did better than every other property sector”. And moreover, James Pullan (Knight Frank’s rep for student property) said “The student accommodation sector is now recognised as forming a critical component of a balanced investment portfolio”.

In the Knight Frank Student Property publication 2011; London, Brighton, Edinburgh and Oxford are ranked in the top five locations to invest in property in the UK. Student Accommodation in Birmingham is listed at number 19. In a more up-to-date publication Knight Frank publicised London student property earnings increased by two fold in 2011! This is said to be due to “Limited supply coupled with strengthened global interest in the UK’s educational excellence”. Which in conjunction “points towards further strong rental growth in the sector”. 

So, how does this effect the cost of letting Student Accommodation Birmingham?

The University of Birmingham estimate the price of living for a single student over a 42-week academic session is £283 per week or £11,866 for the whole period. For students who rent a room in a private shared flat, this decreases to £245 or £10,290 over 42 weeks. 

The actual cost of renting in either University owned, or private halls of residence ranges from around £110 to £190 per week. This number is largely influenced by; selecting to move to the vale, the distance from University and whether you place a requirement for an en-suite. For private shared student accommodation the weekly rental figure drops to around £50 to £90. This value is subject to the; proximity to the ‘student area’, proximity to university and other amenities (E.g. Sainsbury’s), amount of tenants sharing, size and finish quality of the house, the provision of facilities (E.g. two bathrooms), and whether bills are included (E.g Gas). 

The RBS Student Finance survey listed Birmingham as the seventh most cost-effective student city, out of twenty seven locations in the UK.  The survey included parameters such as; the cost of renting student accommodation in Birmingham, daytime and evening entertainment, {restaurant prices, shopping and more. 

Whatever your position, if you are prepared to sacrifice one or more variables above – it will hugely reduce the annual cost. E.g, living close to University in a recently refurbished house with a lot of decent sized rooms will be noticeably more than a identical property an additional 2 miles away from Uni.

Considering the tuition cost increase commencing in the next academic year (2012-2013), its possible to estimate that the standard rental ranges quoted above are not likely to fluctuate too much when considering the demand for tertiary education in the UK and Student Accommodation in Birmingham. 

This prediction is drawn from the fact that Knight Frank speculates “The winners from the new tuition fees regime will be the most renowned universities amid a flight to quality as students search for the very best course available for their money. The losers will be the least renowned universities offering commercially uneconomical qualifications” (2012).