Scottish rent costs rocket amid the very idea of Rent Controls

by Property118.com News Team

10:52 AM, 1st March 2018
About 3 years ago

Scottish rent costs rocket amid the very idea of Rent Controls

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Scottish rent costs rocket amid the very idea of Rent Controls

44% of Scottish tenants saw their rent costs rise in January, a considerable contrast to the national average of 19%, ARLA Propertymark reveals.

The findings come following the introduction of the new Private Rented (Tenancies) (Scotland) Act on 1st December 2017, highlighting a market reaction to indefinite tenancies and the potential for rent controls.

David Cox, Chief Executive, ARLA Propertymark comments:

“Rent controls have a history of dramatically deteriorating property conditions as landlords struggle to meet mortgage payments in addition to maintenance costs. However, it seems the very idea of these controls – and open-ended tenancies – is now affecting rent prices for tenants; in anticipation, landlords are raising rents to make sure they can make ends meet, should they be introduced.

“It’s now been two full months since this form of new Private Residential Tenancy came into force in Scotland and while in December, just over a third 36% of agents witnessed rent hikes, January’s results show a much larger swing.

“For the sake of the Scottish rental sector we hope this isn’t a growing trend, but while rent controls are on the agenda, it’s just a waiting game to gauge how the market reacts”

Comments

Old Mrs Landlord

11:19 AM, 7th March 2018
About 3 years ago

Reply to the comment left by AA at 07/03/2018 - 10:13Glad to hear it Asif. My husband is the same and wouldn't hear of venturing into buy-to-let until our own home was mortgage free. However unfair taxes may be, I believe we should pay what is due.

Richard Adams

14:38 PM, 7th March 2018
About 3 years ago

Reply to the comment left by AA at 07/03/2018 - 10:13
Asif, I have made being grumpy an art form so I'm with you on that front. One of the outcomes of grumpiness is rebelling against the notion that something I wish to do is more complicated than it actually is. Your original idea of gifting a property is NOT complicated unless you make it so. Good luck.

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