How New Rent Regulations Affect Investors
The Scottish residential rental market is buoyant. Potential void periods are down and average rents have risen marginally. Assured and short assured tenancies have been replaced with private residential tenancies (SATs). This new type of tenancy lasts until either party brings it to an end. SATs are subject to a number of statutory regulations. Supply and Demand The Scottish property market remains resilient. Across the country, there were 9% more net agreed sales above PS500,000 in Q2 2023 than in the same period last year, according to research from TwentyCi. But uncertainty over rent controls is affecting investor appetite for new build-to-rent (BTR) investment. Edinburgh and Glasgow are struggling with a shortfall in properties available to rent, while demand is still sky high. When a rental property comes on the market it is often snapped up within days. In fact, letting agents are saying they have never been busier. The way in which renting is regulated in Scotland is slightl...