The latest Citylets quarterly report paints a positive picture of the Edinburgh lettings market after months in the doldrums when Scotland’s capital was impacted by Covid, creating a lack of tourists, business visitors and students.
The 2021 Q2 report shows Edinburgh has bounced back after a record year-on-year decline of 6.9% in Q1, with bigger three and four-bedroom properties displaying strong growth. Few experts anticipated such a rapid change in fortune, and the city’s average rent is now £1,115, with some predicting the market will fully recover by the end of the year.
A Return To Normality For The Edinburgh Lettings Market
Jonathan Gordon, director of top Edinburgh letting agent Clan Gordon, said:
“As we enter the second half of 2021, we can see the Edinburgh lettings market has stabilised, and things slowly but surely are approaching some sense of normality.
“For Clan Gordon, our overall available properties have reduced, which is the complete opposite from this time last year; there is no more ‘over supply’ of properties, allowing us to achieve good rentals and tenants for our clients.”
Student Leases influence market improvement
One of the key factors for market improvement is student confidence, with those taking courses in the 2021/22 academic year finally signing leases for accommodation following the lifting of Covid restrictions. Many students delayed making firm plans until confirmation that their studies would not be interrupted.
Average Scottish Rents Hit All-Time High
The average Scottish rent has hit an all-time high of £883 per month, and bigger properties continue to be in greatest demand, compounded by a shift in priorities for many tenants. Working from home means proximity to public transport, and good road links have been replaced by the desire for a separate office and more outside space.
In Edinburgh, these properties are in short supply, with available homes being snapped up by eager tenants as soon as they come onto the market.
Buoyant Sales Market Mirrors Rentals
Property sales show a similar pattern to rentals, with high demand creating a buoyant market as Scotland’s lockdown restrictions ease. Buyers are becoming increasingly aware of the competitive nature of the market, which means properties are being bought and sold in shorter timescales as buyers act quickly to secure a purchase.
Homes are now selling in just days rather than weeks, faster than the same period in both 2019 and 2020, and prices are being pushed up as a result of increased demand. During Q2, properties in the most desirable areas to the southwest of Edinburgh, such as Balerno, Currie and Juniper Green, achieved almost 10% more than their Home Report value on average.
Trusted By Edinburgh Landlords For Rental Market Expertise
Clan Gordon has extensive knowledge and expertise in both the rental and buy-to-let sectors and can offer advice to landlords and investors. As Edinburgh’s leading letting agent, we look after more than 500 properties across the city and know the best areas and types of homes for investment opportunities.
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