Scottish letting agents give us their views on their local market.
“Q4 has seen a continuation of signs that the market is set to begin recovery in Aberdeen. With plenty of stock in the market, the properties presented in the best condition and competitively priced let first. Demand continues to remain high for one bedroom properties of exceptional high standard with private parking. All signs seem to indicate that the conditions are good in the market to maintain a beginning of recovery in all sectors of the Aberdeen market, which is good news and brings much needed positivity to Aberdeen.”
“In Q1 2018, the average rental in Glasgow reached a new milestone with rent higher than the national average for the first time. That trend has continued with Glasgow still inside the top three performing areas for year-on-year price/rental growth. Indeed, the fastest growth was in the Glasgow and Clyde region, the third most expensive place to rent in Scotland, where prices recorded double-digit increases, creating landlord demand from outside of our borders. The average property to rent in Glasgow now lets at just over £690 per month, with about 50% of all property renting within one month. The average property investor in our portfolio enjoyed a rental yield approaching five percent.”
“Q4 rents remain robust. Steady increases on 1-2 bedroom properties (c.3-4%). However, YoY, 1-2 bed market rents in central Edinburgh rose by c.5% as demand continued to outpace supply. Airbnb stock returning to the lettings market may add pressure. Investor activity remains positive despite Brexit, but it’s not helping! Student property demand looks set to be high again in Q1 2019 with enquiries received throughout Q4 2018. Letting Agent Registration and PRT’s have yet to take full effect on the market but we expect this to gain pace in 2019, with the former being watched with interest.”
“Q4 has remained buoyant but TTL have creeped up a little. Rents have remained strong and interest in property high, with viewings right up to the week before Christmas. Looking ahead to the New Year and Q1, and the continuously reported Brexit, time will tell for the property market, but we will be business as usual extending our range of properties managed and growing our portfolio. We look forward to the TTL’s reducing come spring and to getting our teeth into the challenges ahead. Our investors are still buying and have confidence in the PRS so we will continue doing everything we can for our clients, maximising rents and getting the best tenants possible.”
“The final quarter of the year is usually a quieter period at The Flat Company as students settle in for the academic year. This year however has been much busier than usual and this may be a result of the PRT. During the final quarter we have taken the opportunity to carry out management inspections, routine maintenance and staff training and getting to grips with our new apps. We have also seen an influx of new landlords taking advantage of a combination of services bringing their properties whether student, professional, holiday or festival on board for 2019.”
“We ended 2018 with a record number of lets secured in December. Demand remained high for 1 bedroom apartments in the city centre, with some achieving higher rentals. Overall, activity from potential tenants remained high for the time of year, which was reflected in number of viewings and applications received. The focus will now be on ensuring there is enough stock to meet the demand expected in spring/summer. We are optimistic that the lettings market in Aberdeen will continue to improve during 2019.”
“The Perth rental market continues to go from strength to strength, with demand outstripping supply in some key areas. The likes of Oakbank, Viewlands, Craigie, Kinnoull, Scone and Bridge of Earn remain ever popular with families due to the proximity of schools and other services, and the shortage of stock in these areas is keeping rental rates high. 1 bedroom and 2 bedroom flats also continue to rent well so I am optimistic that this steady market will continue through 2019.”
“Rolling in to 2019 I expect the Edinburgh rental market to remain a solid investment for landlords. However, being aware of recent changes to legislation and tax positions, is crucial to maximising returns.”
“2018 has ended in a whirlwind – as I imagine it has across the PRS – with our busiest ever November and December. A significant number of tenants, aware of their rights under the PRT, are using properties (particularly larger houses) for short-term accommodation whilst buying or relocating. We also hear from new tenants their previous tenancy was ended quickly so their landlord could sell; indicating the PRT is not being used as intended. On a more positive note, there’s a continuous stream of new properties coming to the market, demonstrating confidence in the sector and providing much-needed homes for Edinburgh tenants.”
“Q4 has been slightly slower than Q3, we would say this is likely due to student demand being a lot less from October onwards and the price of oil falling from $80 per barrel to $60 per barrel. On the plus side, we are seeing more relocation companies looking for properties on behalf of larger oil companies on almost a weekly basis, hopefully a good sign of more professionals coming to the city and renting. Some properties have also been renting within one week which is good to see, however a lot of properties are still taking over one month to rent.”
“The final quarter of 2018 saw very little let up in the demand for quality residential property in Edinburgh. The one and two bedroom markets continued to dominate, with demand far outstripping supply. 1LET also noticed a spike in new landlord enquiries and landlords adding additional properties to their portfolios. The Brexit effect does not seem to be deterring landlords from the market and indeed Edinburgh appears to be a thriving haven for property investment. We look forward to a strong 2019 with continued growth underpinned by a thriving rental market.”
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