Lothian sees biggest increase in rents for two-bed properties

Lothian has led the way in Scotland for the biggest increase in rents for two-bed properties in the last eight years, according to new figures.

Statistics for private-sector rents from 2010 to 2018 have just been released by Scotland's Chief Statistician.

Monthly rents for two-bed homes in Lothian were up by an average 42.3% to £946 during the period, followed by Greater Glasgow (+31.3% to £740) and Forth Valley (+19.5% to £589).

Bottom of the table was Aberdeen and Aberdeenshire, which only notched up a 1.7% increase to £654 during 2010-18.

The Scottish average rise for the period was 21.6% to £652.

In the last year all areas of Scotland, apart from Aberdeen and Aberdeenshire, Greater Glasgow and Renfrewshire/Inverclyde, saw rises in typical rents for two-bed properties.

These ranged from 0.3% in Perth and Kinross, up to 6.5% in Lothian.

Aberdeen and Aberdeenshire saw the biggest decrease of 4.1% - the fourth consecutive annual fall - following less demand for rental properties due to the downturn in the oil industry.

These regional trends combine to show an increase of 1.5% in average rents for Scottish two-bed properties from £643 in 2017 to £652 this year.

Most recent figures from Citylets showed that landlords in both Edinburgh and Glasgow enjoyed big year-on-year increases in rents in the third quarter of this year.

Aberdeen meanwhile continued its progress towards a levelling off in rents after the oil industry slump.

Citylets said typical private rented sector rents in Scotland in the third quarter were up by 2.2% year-on-year to £789 per month on average.

The rate of rental growth in Edinburgh, which quickened in Q2, was sustained in Q3 - up by 5.6% year-on-year to another all-time-high at a typical £1,107.

The average rent in Glasgow jumped by 4.9% year-on-year to £785. Leading the market for rises were four-bed homes which soared by 17.1% to an average £1,633.

There were some welcome signs of an improvement in the Aberdeen rental market. Citylets said typical rents were down by just 3.6% year-on-year to £746, while the drop for one-bed properties was only 2.7% to £474.