April 2017 - Demand for family properties pushes up prices
All regions boast monthly price growth
All five regions of Scotland saw rents increase on a monthly basis (seasonally adjusted), Your Move Scotland found.
The best performance came in the Highlands and Islands region, where rents grew 0.8% between February and March. This was ahead of the South of Scotland region where rents increased by 0.5% in the same period.
Both areas have seen prices rise thanks to increased demand for family properties. These three and four bed properties have been particularity in demand in the Dumfries and Highlands areas.
The South of Scotland region saw rents rise fastest on an annual basis, growing 5.9% in the past 12 months. However, it was a mixed picture for other parts of the country.
While East of Scotland (2.4%) and Edinburgh and Lothians (2.3%) both saw rents rise compared to March 2016; Glasgow and Clyde (-3%) and Highlands and Islands (-1.9%) experienced falls in rentals, particularly in certain towns, where for various economic reasons they have seen significant drops.
Across all of Scotland, rents increased by 3.8% in the year to March 2017. Fears that another Scottish independence referendum could destabilise the rental market appear to have been unfounded, although it remains to be seen what the long-term impact will be.
The prospect of a second UK general election in June may also filter through in future surveys.
The most expensive region of Scotland continued to be the Edinburgh and Lothians area. The market in the capital city remains strong due to high demand from tenants, especially given the strong student population. The average rental property here let for £651 in March 2017, with no other area recording rents over the £700 mark. The closest competition came from the Highlands and Islands, where the typical property cost £690 per calendar month.
At the other end of the scale, the East of Scotland is the cheapest place to rent a property in the country with an average cost of £536 a month.