Research

Research

In addition to our experience, research and data are going to be critical as we formulate new marketing initiatives and continue to assess the effectiveness and viability of those of those initiatives we implement. It is critical that leasing standards are of the highest possible standard and so we regularly use the data provided by our site in conjunction with wider macro and micro market indicators.

We have already researched the competition in Birmingham and also understand the pipeline for what is going to become an ever more competitive market. We have included a detail on a number of tabs exemplifying a small snapshot of the type of data that we can obtain for Birmingham in order to ensure our marketing strategies are effective and that we are maximising the rental opportunity an amazing scheme such as this can provide.

Understanding and obtaining the evidence required to provide a basis for trend analysis, rental demands, rental growth, product suitability and ultimately the service proposition is very much our sweet spot. Allsop have experience of launching multiple BtR sites, we have also taken struggling assets such as The Keel in Liverpool and implemented Asset improvement strategies that have taken these schemes and made them the best in their market. (EDA, Trilogy, Duet and Keel have all won BtR scheme of the year with Homeviews).

Our in house specialist research team are experts in assessing the fundamental market drivers and demand for rental product at a granular, local level. We are also able to assess overarching market fundamentals and interpret changing trends to adapt our approach to marketing. Our rental research encompasses resident profiles, target markets, employers, affordability, local amenity provision, transport and comparable competition. The research examples provided are not exhaustive and if instructed we would welcome the opportunity to provide further resident profiling through various data sources.

We have access to vast amounts of data and use an extended network of contacts to source information and undertake analysis / identify trends. We collectively tap into our industry contacts and use our database of clients, investors, residents and tenants, plus data from units under management. This data would be utilised to dynamically price units and would also ensure we maintain lease up velocities throughout the lease up process (including a strategically agreed pre-let target).

As per the projection, headline rental growth across Birmingham looks to have peaked acording to the ONS PIPR indexx, but price inflation is still running at ~12.2% year on year as of May 2024. Local average wage growth had been increasing significanly into 2023, but the rate has cooled to around ~6% as of April 2024 (source: PAYE RTI data from HMRC)

Comparing the headline average monthly wage & the headline average monthly rent in Birmingham gives us an affordability ratio well above the ‘rule of thumb’ (35%), at roughly ~37% as of May, having jumped back significantly as from Q3 2023.

ONS data available on prevailing rental averages - further detailed data can be provided upon request



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