Scotland’s Average Rents Reach Record High
June 24, 2015
The typical amount of money paid as rent to landlords across Scotland reached an unprecedented high during May of this year, according to a new set of figures.
An average Scottish renter paid out £544 to their landlord during May, with that nationwide figure having jumped more sharply than ever before in the month.
The figures come from the latest Buy-to-Let Index put together by the lettings agents network Your Move, which shows that rents in the south of Scotland rose by as much as 1.9 per cent during May.
Overall, Scottish rents rose by 1 per cent during the month, with typical residential rents having increased by 2.7 per cent over the course of the prior 12-month period. The annual increase was strongest in Glasgow and the Clyde, where typical rents reportedly went up by 5.7 per cent.
“The Scottish rental market has finally shed its winter coat and is starting to emerge brighter-eyed and bushy-tailed for the summer months,” said Brian Moran from Your Move Scotland.
“After a down-trend in rent growth over the winter months, we’re now back on par with the rate of rises a year ago.”
For buy-to-let landlords the upward trends for rents across Scotland are seen as positive indicators, while for renters themselves the latest findings would appear to offer little worth celebrating.
However, Your Move’s experts have suggested that the rise in rents has only been made possible by the relative improvements to the financial positions of households around the country.
“Affordability is one of the main handicaps reining back private sector rents from rising even faster, but with recent boosts to wage growth most household incomes are weighing in higher and tenants can finally afford to pay more,” said Moran from Your Move Scotland.
According to the letting agents, the proportion of rent being paid in arrears around Scotland fell during May from 9.2 per cent to 8.8 per cent in an apparently positive indicator of personal finance trends around the country.
Although, Your Move’s data also shows that the proportion of rent being paid in arrears was considerable higher in May 2015 as compared with a year earlier when the percentage figure stood at 6.4 per cent.
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