Rightmove have released their latest rental trends tracker covering Q4 of last year with indications that supply in the rental market is increasing with the number of properties added to the market up 7% compared to the previous year.
With rental caps ending in Scotland on 31st March 2024 we hope to see an even higher supply particularly north of the border with the hope that restrictions easing will encourage further reinvestment into the Scottish private rental sector.
Whilst average rental prices in the UK are 9.2% higher than the previous year, landlords are urged to be cautious though with their investments as signs indicate that more tenants are hitting an affordability ceiling, with nearly a quarter (23%) of rental properties needing a reduction in advertised rent, compared with 16% at this time last year.
Scotland comes out second for the best landlord yield across the UK at an average of 8.1%, an increase of 0.6% compared to the previous year. The North East of England came out top with an average 8.7% yield and London was the lowest at 5.4%.
Scotland also outperforms all but one region across the UK for rental price increase in the year, up 10.6% to a monthly average of £1,038pcm.
The property website also named its hotspot locations for the best rental price with Dundee coming out top for Scotland with an average asking rent of £913, a huge 20.3% yearly increase.
For the full rundown of Rightmove’s rental trends click here.
