Activity in the Edinburgh private rental market continued at a fast pace through Q2 2022, with low rental stock levels and high demand for rental properties pushing rents still higher.
We believe that it is important to benchmark our own performance and experiences each quarter with that of letting agents across Edinburgh. Citylets’ quarterly rental reports allow us to do this, while offering a valuable understanding of the Edinburgh residential lettings market within the wider Scottish private rental sector.
These quarterly rental reports include insight from select agents, and we were delighted to see our director Rick McCann quoted again, in Citylets’ Q2 2022 report.
The private rental market in Scotland
Citylets’ report found that rental stock levels across Scotland stayed at near-historic lows throughout Q2, despite a slight increase on the previous quarter. Demand remained high, driving Scottish rents up to a new all-time-high average of £970 per month, up by 9.9% year-on-year. This high demand also kept Time to Lets (TTL) low, with a Scottish average of 18 days, two days faster than in Q1 2022.
We noted that Citylets’ data showed that property size did not affect Time to Let, highlighting the wide demographic range of the tenant market.
The Edinburgh private rental market in Q2
The Edinburgh private rental market mirrored the wider Scottish private rental sector, with the positive annual growth seen in Q1 continued into Q2. Available rental stock in the city has experienced a complete turnaround on the previous year, from stock oversupply to undersupply.
The city recorded a 15.1% year-on-year increase on average rents, to a new all-time high, and the average TTL dropped to just 15 days. Citylets found that two-bedroom properties recorded the highest increase in average monthly rents, year-on-year.
- The average TTL was 15 days, 1 day faster than Q1 2022 and 23 days faster year-on-year.
- Average rents increased by 15.1% year on year, to a new all-time high of £1,283.
- 84% of all properties were let within a month, matching the previous quarter.
Our experiences: At Home In Edinburgh
Rick McCann, At Home In Edinburgh’s Director, noted that that the strong demand we saw in Q1 continued throughout Q2, leading to upward pressure on rents. We consistently received high volumes of enquiries, resulting in most properties only advertised for a 24-48 hour period.
At the end of the academic year, we experienced the expected turnover of our student properties. Most saw a quick turnaround as students were willing to pay for the summer period, even when they weren’t going to be here. Some students took advantage of the summer rental period to stay and work during the Fringe, which they were not able to do previously with higher festival rents.
We saw a lot of landlord activity during the period. A higher than normal number of landlords sold their properties, but this was more than offset by the acquisition of new landlords.
Our team is here to help
Our friendly, professional team are experts in the Edinburgh private rental market. We’re always happy to help, whether you’re considering buying your first investment property or looking for a property-sourcing service to help extend your portfolio in Edinburgh’s strong, robust market. We know the Edinburgh rental market inside out, making us perfectly placed to help investors become successful landlords.
Get in touch with any queries – email us at [email protected], call us on 0131 229 4001, or pop in to see us at 39 Warrender Park Road, Marchmont, Edinburgh, EH9 1EU.