Investor News

June News Bulletin

Property market in Scotland continues to outperform the rest of the UK

Property Wire reports; Official figures confirm that the property market in Scotland is outperforming the rest of the UK with annual price growth of 5.6% in the 12 months to April 2018 and monthly growth of 2.5%. READ MORE

Cullen Property opinion:
The property market in Scotland continues to outperform the rest of the UK with an annual price growth of 5.6% and a monthly growth of 2.5%. This is well ahead of England’s annual growth at 3.7% and Wales at 4.4%. Great news for landlords or investors considering investing or re-investing in Scottish residential property as the outlook in the Scottish property industry remains stable and competitive.

Edinburgh is third most attractive city in UK for overseas investment

The Edinburgh Evening News reports; Edinburgh has the most ­foreign direct investment ­outside of London and ­Manchester, new figures reveal. READ MORE

Cullen Property opinion: Scotland is becoming more attractive to foreign direct investment (FDI). Seeing a 7% rise in FDI projects in 2017, Edinburgh has the most foreign direct investment outside of London and Manchester and is now firmly established as a location of choice for global investors.  This expansion of FDI projects in Edinburgh will create many more job opportunities in the capital which, in turn, will lead to an increasing demand for accommodation in prime locations. We believe this developing amount of FDI is beneficial and attractive for Edinburgh landlords, boosting demand for Edinburgh property.

Landlords find that the private rented sector in the UK is still a worthwhile investment

Propertywire reports; Despite tax and regulatory change it seems that being a landlord is not as bad as the headlines make out with new research showing that the buy to let market is attractive for a variety of reasons. READ MORE

Cullen Property opinion: Despite the many tax and regulatory changes landlords now have to adhere to in the private rented sector, landlords still view UK buy-to-let property as a worthwhile investment for a variety of reasons and objectives, financial or otherwise. We have recently seen an increase in investors enquiring about Edinburgh residential property in prime locations for two main reasons. Firstly, viewing it as an attractive and worthwhile financial investment. Secondly, some see investing in Edinburgh residential property as route to providing accommodation for their son/daughter whilst studying in Edinburgh.

TotallyMoney's research offers useful insights into the best cities to invest in.

Estate Agent News reports; The Free Credit Report and comparison specialists looked at over 580,000 properties across England, Scotland, and Wales to rank each postcode, from best place for buy-to-let yields to worst. READ MORE

Cullen Property opinion:
Edinburgh provides landlords with one of the best buy-to-let yields in the UK. With university cities offering the best returns it is not surprising that Edinburgh is fourth on the best UK BTL Yield List. Edinburgh has four universities with approximately 75,000 students – with student numbers increasing from year to year it is no surprise that the student market provides a dependable investment environment for landlords. According to the Times Higher Education World University Rankings, The University of Edinburgh has been voted sixth best in the UK. Edinburgh residential property provides an average yield of 10.62% with an average monthly rental of £1,962.

More people in the UK want the flexibility of renting a home

Property Wire reports; Many people in Britain not looking to buy a property simply don’t want the financial commitment that comes with owning a home, new research has found. READ MORE

Cullen Property opinion: The UK housing market continues to change throughout this generational/attitudinal shift with more people in the UK preferring to rent a home. This suggests that the UK is moving towards a German housing model with a greater percentage of the population renting rather than owning. Whilst affordability and the price of UK property are factors, many people are increasingly more comfortable with the flexibility of renting a property, being free to travel, not being tied to a location and no financial commitment which comes with owning a home. Scotland currently has the highest proportion of people renting at 43%. We expect Scottish landlords will continue to benefit from this increasing demand for rental properties in prime locations.