Rents in Edinburgh again rose at circa 3% YOY (3.3%) to stand at £1016 per month on average lending further support to the possibility that this is now the going growth rate for Scotland’s capital city. The market is moving at around the same speed as last year taking 23 days to let on average, up just 2 days on Q4 2016. 1 and 2 bed markets led the rise recording 3.5% and 2.7% growth respectively with 1 bed properties taking just 17 days on average to rent as per last quarter. Both markets are up 27% over the 5 year period. Quarters 1 and 2 of 2018 will be interesting for the capital with Tenants of course hoping that the annual rate of growth has indeed cooled.
“The introduction of the new Private Residential Tenancy (PRT) at the start of December appears to have gone without any major hiccups (thus far!) and we are still seeing an extremely busy and buoyant PRS market. Landlord’s yields have been increasing in the last couple of years especially for properties rented for a combination of long term and short term lets. For these properties it’s possible to achieve rental yields of up to 10%, this compares very favourably to the historic yield for long term lets in Edinburgh of 3-4%. The trade-off for this increase in yield is that tenants now expect a higher standard of accommodation and a more professional and strictly regulated PRS.”
I am a Tenant Landlord
