Armed police led the youngsters out of the Pretoria Road house at about midday yesterday before making them lie down in the street.
Footage shows officers, flanked by police dogs, handcuffing the group of children, which witnesses described as being aged 11 to 19-years-old.
One bystander, who said his name was Mohammed, said: “There were loads of people watching this and many were filming.
“The police were still there after I left and so were the people – two were in one van and two in another.”
Armed police detain children at gun point in Birmingham
Another witness claimed he was in his car driving down the road at the time the raid took place.
He said he “was stuck for about 45 minutes” so he began filming the incident.
The onlooker added: “The police led the kids out one by one. The youngest only looked about 11 or 12 and the oldest about 19.
“Some were still in their night clothes and some didn't have any shoes or slippers on.”
Officers lined the youngsters up along the road and handcuffed them
West Midlands Police said: “Police were called to reports of a man believed to be carrying firearms in Pretoria Road, Bordesley Green, at around 10.50am.
“Officers and the police helicopter attended the scene but despite a thorough search no firearms were recovered and no arrests were made.
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“It appears that a call was made with good intent.”