APRIL 13, 2018 | BY A & S Property
Sharp increase in English landlords renting out properties in Scotland
The number of English landlords renting out properties in Scotland has quadrupled since 2012, thanks to cheaper property prices north of the border, along with tax reliefs and higher yields, research shows.
Fresh analysis of Scottish rental deposit registrations by SafeDeposits Scotland reveals that there has been a 430% increase in the number of English landlords using the system since 2012.
The study found that in 2012, 260 landlords living in England registered deposits with them on rental properties in Scotland.
In 2017, the number was 1,388 new registrations. Data for 2018 shows that the trend continues as the number is up 226% on the same period in 2017.
“SafeDeposits Scotland now holds over 3,300 deposits from English landlords on Scottish properties,” said Victoria Smith, operations manager at SafeDeposits Scotland.
Smith believes that the sharp rise in registrations by English landlords could be down to a number of contributing factors, including variations in rates of stamp duty in England and Land and Buildings Transaction Tax in Scotland, which may make investing more attractive north of the border.
She continued: “In Scotland, the private rented sector accounts for 15% of the overall housing stock, growing from 5% before the turn of the millennium.
“While the sector expands and interest from landlords from outside Scotland increases, it is important that they understand the legal framework in which they are operating. For example, navigating deposit protection regulation and Private Residential Tenancy legislation is vital to managing tenancies successfully in Scotland.”
N.B. 2018 figure is from January – April
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