Your Move has found that rents in Scotland continued to trend upwards in the last year, although growth was slower than in recent months. The average rent increased by 1.2% in the year to January 2018, and now stands at £570 (seasonally adjusted).
However, compared to the previous month there was a slight drop off, with rents falling by 0.2%.
Three of the ve Scottish regions posted price increases in the last 12 months, with the strongest growth being seen in the Highlands & Islands area.
When considering rents on a non-seasonally adjusted basis, the average across Scotland was £560 for January, £2 lower than the previous month.
Meanwhile, the typical rent increased by 1.2% in the year to January 2018, with prices reaching an average of £570.
Three of the five regions of Scotland saw growth in rents in this time period. Led by the performance in the Highlands & Islands region, where prices have grown a strong 8.2% in the last 12 months. The average price in this area now stands at £631.
Elsewhere, there was also a solid performance in both the Edinburgh & Lothians – which posted a 2.5% annual price rise – and the East of Scotland region, where prices ticked up 0.7%.
However, the East remains the cheapest place to rent a property with the typical home costing £537 per calendar month.
The two remaining areas saw rents fall slightly year-on-year. The Glasgow & Clyde region was home to a 1.2% price fall in the year to January, with prices dropping to £558, while in the South of Scotland rents fell by 1% to £550.
Brian Moran, lettings director at Your Move Scotland, said: “The new year has started in a positive fashion for the Scottish rental market, with growth in three-fifths of the regions surveyed.
“Although yields have dropped back slightly they still remain highly competitive and well above the England and Wales average. A return of 4.7% also compares very favourably to other asset classes and forms of investment.
“Arrears levels, often an issue in the Scottish market, look to have stabilised. This is great news for both tenants and landlords, who have greater certainty with their investment.”
