Market Snapshot: Harborne and Edgbaston Housing Trends Q1 2025

The first quarter of 2025 has come and gone, and it’s fair to say the housing market (both locally and nationally) has kicked off the year with surprising resilience. Amidst the backdrop of rising mortgage costs, a sharp increase in housing stock, and the end of the temporary stamp duty relief, both buyers and sellers have remained notably active.

The first quarter of 2025 delivered a tale of two towns in Birmingham; Harborne (B17) and Edgbaston (B15), each showing distinct patterns in property activity and pricing. While they share proximity and prestige, their market dynamics this quarter paint two very different pictures.

Why Did Q1 See So Much Movement?

Stamp Duty Deadline: Many buyers rushed to complete purchases before the 1^st April return to previous stamp duty thresholds, leading to a 92% spike in completions in the final week of March alone.

Inflation and Mortgage Rates: Although base rates remained at 4.5%, the drop in inflation to 2.8% in February sparked fresh optimism. Buyers and sellers likely moved early in anticipation of possible future rate cuts.

Stock Surge: Buyers had more choice than they’ve had in years, with the highest levels of homes for sale since 2013. This increased competition kept asking price inflation in check and forced some sellers to reprice.

Harborne (B17): An active start to 2025

Harborne continues to be one of the most sought-after areas, and Q1 2025 reaffirmed this with strong listing activity,modest price growth, and a slight softening in buyer demand..

Headline Stats (Q1 2025 vs Q1 2024)

• Properties for Sale: ↑ 16.1% (274 vs 236)

• New Listings: ↑ 15.2% (197 vs 171)

• Sales Agreed: ↓ 13.3% (104 vs 120)

• Asking Price: ↑ 4.0% (£428,868 vs £412,381)

• Price per Sq Ft (New Listings): ↑ 4.7% (£376 vs £359)

• Sales Agreed Price per Sq Ft: ↑ 5.7% (£350 vs £331)

This tells a story of increased supply and firm seller confidence, but a slight drop in buyer urgency. With more homes available, buyers have become more selective, leading to a fall in agreed sales despite stronger pricing.

Quarter-on-Quarter (Q1 2025 vs Q4 2024)

• New Listings saw a massive surge of 103.1%—from 97 to 197.

• Sales Agreed rose by 19.5%, bouncing back from a slower winter.

• Price per Sq Ft (New Listings) increased by 8.7%, suggesting renewed pricing confidence.

• Fall-throughs (sales that didn’t see through to completion) decreased by 8.3%, signaling improved buyer commitment.

The post-Christmas bounce was strong, as listings surged and buyer activity picked up compared to Q4. Importantly, the increase in agreed prices per square foot shows that motivated buyers are still paying premiums for quality homes, even with more choice.

There’s clear momentum in Harborne. But as sellers pushed for higher prices and stock flooded the market, buyers became more price-sensitive. The increase in withdrawn listings and price reductions suggests many sellers overshot the mark initially

Price competitively and you'll sell. Overreach, and your home could linger on the market.

Edgbaston (B15 houses only): Diverging Dynamics

In contrast to Harborne, Edgbaston’s figures suggest a market with growing supply, but clear signs of price fatigue among buyers—particularly at the higher end.Year-on-Year Changes (Q1 2025 vs Q1 2024)

• Properties for Sale: ↑ 56.3% (75 vs 48)

• New Listings: ↑ 45.5% (48 vs 33)

• Sales Agreed: ↓ 28.6% (15 vs 21)

• New Listings Asking Price: ↑ 0.1% (£843,435 vs £842,909)

• Sales Agreed Asking Price: ↓ 13.5% (£684,997 vs £791,783)

• Sales Agreed £ per Sq Ft: ↓ 13.9% (£391 vs £454)

Despite little change in asking prices for new listings (+0.1%), the gap between what sellers want and what buyers are willing to pay has widened. Buyers are negotiating, and many deals are being struck at significant discounts.

Quarter-on-Quarter (Q1 2025 vs Q4 2024)

• New Listings: ↑ 29.7%

• Sales Agreed: ↓ 37.5%

• Withdrawn Properties: ↓ 44.4%

• Sales Agreed Asking Price: ↓ 18.2%

With nearly twice as many homes for sale compared to the historic average, Edgbaston is leaning favourably to perspective buyer’s. But while price adjustments are starting to happen, it may not be quick enough to reverse the current downward trend in sales volume. A 50% drop in fall-throughs may indicate that serious buyers and realistic sellers are left in the market.

Edgbaston is adjusting to a reality where buyers hold more power. Sellers who are flexible and realistic will still find willing buyers, but the days of being aspirational with pricing in B15 are behind us, for now

Q1 2025 saw high stock levels, robust pricing on paper, and mixed demand. Harborne is busy but increasingly competitive. Edgbaston, while prestigious, must realign expectations with reality.

With interest rates stabilising and more clarity around the post-stamp duty landscape, Q2 may bring more consistent buyer behaviour, but only for sellers who adapt their strategies accordingly.

For further insights and indeed analysis of what this means for you and your home within Harborne, Edgbaston or surrounding areas, feel free to reach out to director Andy McHugo on 07751 675267 or andy@mchugohomes.co.uk