The Scottish rental market saw a positive start to 2017, with the average landlord property in the country now being let for £571 per month.
The latest Your Move Scotland rental index found that the average Scottish rent was up 4 per cent year on year from £548 per calendar month at the same point in 2016. Yield levels remained steady, in spite of concerns regarding Brexit and tax changes, at 4.9 per cent in January for the average landlord. This was a strong result in comparison to other areas of the UK, with yields at just 4.6 per cent in England and Wales.
Once again, Edinburgh and the Lothians topped the Scottish rental index, with prices in the region up 3.3 per cent over the year to reach £648 in January 2017. However, on a monthly basis, there was little to no growth. Although the Highlands and Islands boasted the next highest rents, figures stood at 4.3 per cent lower than the same point last year, marking the biggest annual decline. Otherwise, Glasgow and Clyde was the only region to notice a yearly fall, down 0.9 per cent.
The East of Scotland was found to be the cheapest place to rent, with properties let for £533 a month, up 1.3 per cent year on year and 0.4 per cent month on month.
Lettings Director at Your Move Scotland, Brian Moran, commented: ‘It was a strong start to the new year for many landlords across Scotland as rents continued to perform well. Edinburgh and Lothians is the best performing region with prices growing faster than anywhere else in Scotland. Despite new government rules which cut tax relief on buy-to-let properties making business more complicated for landlords, yield levels have remained strong in the past 12 months. Yields are exactly the same as a year ago and suggests the Scottish rental market continues to attract quality investment into its housing stock.’