Scottish letting agents give us their views on their local market.
“We have seen a very busy start to the year for Q1 which is encouraging. Demand is up and, whilst rent values are still low, I think we can look forward to an improvement in the market as we head towards the end of this year. As we enter the summer months we will look forward to another large student influx which will boost times to let across the board.”
“As we near the end of Q1 2017 it is clear that Glasgow rentals have struggled a little since the beginning of the year. However, client yields are holding up well at close to 5%, which compares strongly to other parts of the UK. In anticipation, we diverted some clients towards serviced apartments as opposed to traditional renting which has proven to be especially successful so far. Overall though the result is that the rental market continues to attract quality investment into a robust property market.”
“We continue to witness no significant signals of Brexit impacting the lettings and sales market in Edinburgh. Despite seeing a dramatic downturn in sales in London over recent months, Edinburgh has seen more residential sales in 2016 than any other year since 2007. Rental demand is at record levels, and much of this can be put down to a strong insular market backed by a thriving economy built around industries that in turn depend on the highest educated population of any city in the UK. Investors are now realising that the perceived uncertainty of last year’s market was unfounded and their investment models and ROI have gathered pace once again.”
“As Q1 draws to a close it’s fair to say it’s been a modest start to the year. Financial and political changes still weigh heavily over us, which has led to a fairly static rental market. For potential BTL investors there has been relatively little in the way of new stock coming to the market resulting in an increase in purchase price with over 60% of properties going over Home Report valuation. We have found that rent levels are starting to level off from the peaks experienced last year, and that tenants are more discerning about the property they want and the rent they expect to pay. With more people looking to invest in property will this mean tenants will have more options than ever? It’s certainly set to be an interesting Q2.”
“The first quarter of 2017 has been and gone and as we enter the spring market we have seen sustained growth in the Greater Glasgow area with new business opportunities throughout the region. We have found that quality properties in the most popular areas have been very quick to move in the PRS and that instructions are increasing. We are finding that many private landlords have instructed us having been overawed by all the compliance issues now in force. With less than a year to go before we find the lettings industry having to be regulated (by the 31st Jan 2018) we are taking the necessary steps to become a registered agent and see this as a huge opportunity to build our business as non-regulated agents will be forced to find an exit strategy and this will hopefully enable diligent agencies to build their portfolios.”
“Q1 has seen a mixed start to the year in Aberdeen. We have seen pockets of the market where demand outstrips supply and there has been good movement, and other pockets that continue to see increased time to lets and lower rental values than in previous years. Overall there are signs of stabilisation which is positive news for the market. Meanwhile, Northwood have been proactive to ensure all is in order for the pending regulation of the sector in early 2018. All agents will be required to complete a registration process as well as complying with a new code of conduct.”
“Q1 2017 has been very interesting, with a really strong start. Properties being brought to the market are letting quickly, illustrated by a number of new releases at Quartermile letting before we were able to advertise due to high tenant demand. New landlords seem to have accepted the various legislative and tax changes enforced on them albeit the first blow of the tax changes won’t be felt until landlords submit their tax returns in Jan 2018. Umega’s investor database has had a sprint start to the year, with us snapping up both on- and off-market properties, indicating that people still see bricks and mortar as the best place to put their money, even with all the recent changes.”
“The Key Place continues to experience high demand across all the areas in which we operate from viewers, landlords and buy to let investors. Looking specifically at the Falkirk area, average rents remain strong, with 1 bedroom at £375, 2 bedrooms £498, and 3 bedrooms £615. Average monthly yields sit at around 7%. The majority of our properties let within a month, with 1 and 2 bedroom properties being the most popular. We predict rents and tenant demand will continue to increase for the foreseeable future due to the lack of new homes being built, the ageing population, an increase in the number of people living alone, relocation and net migration.
“The Edinburgh lettings market has seen a strong start to 2017, with tenant demand continuing to outstrip supply, especially for one and two bedroom flats. With rents continuing to rise, tenants are increasingly looking for quality properties; those that have recently been refurbished are achieving the highest level of interest and applications. This trend extends to the student market, where applicants are willing to pay premium rents for high spec HMO properties, but are finding there are few quality options available. The lack of quality stock looks set to continue as investors struggle to compete with first time buyers for investment opportunities.”
“The first quarter of 2017 has seen a very busy period for us and we expect this to continue well into quarter two as well. Investors are still coming to the marketplace and with time to lets improving month on month and rents strengthening we see this as a good sign for the sector.”
I am a Tenant Landlord
