In truth, there are loads of reasons to invest in buy-to-let property. From passive income and tax planning to long-term capital growth, it remains a popular and lucrative investment opportunity.
But why should you focus your attention on buy-to-let in Edinburgh specifically?
In this short post, we take a look at 4 reasons why Scotland’s capital remains in-demand with property investors.
Why Buy-to-Let in Edinburgh?
1. A growing population
The population of Edinburgh has been trending upwards since the 1990s and shows no signs of slowing.
As of 2020, it sits at a whopping 536,775, and this is projected to grow to over 603,000 by 2035. This means it could rival — and even overtake — Glasgow at some point in the near future. And a growing population means a greater demand for housing stock.
Worth bearing in mind if you’re trying to choose between the two cities.
2. A thriving student market
Edinburgh is home to 6 universities and 3 colleges. The city attracts students from across Scotland, the UK, and the rest of the world, not just for its outstanding educational facilities, but also for its rich history, architecture, and nightlife.
According to a recent census, full-time students comprise around 12% of the city’s population — and these students need somewhere to live!
Investing in high-quality HMO student accommodation can meet that demand and deliver greater yields for property investors.
3. Opportunities for young professionals
As we mentioned, Edinburgh’s population is growing rapidly, and a significant factor in that growth is the younger generation calling the city home. Around 20% of the population are in their 20s (only Aberdeen has a higher percentage in Scotland) and 15% are in their 30s.
And as of 2018, the Scottish capital was the most prosperous UK city outside London. Around 40% of the workforce are in high-skilled jobs, with an average full-time salary of £30,700. This certainly ticks a few boxes for would-be property investors; namely young, full-time working professionals with a high level of disposable income.
4. The biggest arts festival in the world
In 2019, a record 3 MILLION people descended on Edinburgh for the largest arts festival going.
And although new legislation will be introduced in 2021 to control Airbnb-style short-term lets, the sheer number of tourists and performers visiting the city each year represents a massive opportunity for property investors, both in the short and longer-term.
Cairn: Buy-to-Let Edinburgh Experts
Interested in exploring buy-to-let opportunities in Edinburgh?
Get in touch with our property investment experts to learn more about our approach and services.