From Property Wire, yesterday:
‘The buy to let market in Scotland is seeing a surge in landlords from other parts of the UK, most notably England, investing in property, new research has found. Since 2012 the number of English landlords registering tenancy deposits on properties in Scotland has risen by over 430%, according to the research by SafeDeposits Scotland, which is warning landlords to make sure they comply with different deposit rules in Scotland. Six years ago, there were 260 landlords living in England registered deposits with them on rental properties in Scotland. That number surged to 1,388 new registrations in 2017 and data for 2018 shows that the trend continues as the number is up 226% on the same period in 2017.’
The article’s central concern was that many of these landlords might not be familiar with the deposit protection legislation in Scotland and may not be following it to properly protect their tenants’ deposits. I can’t find anything to suggest that the Scottish scheme is better or worse.
Property Wire go on to suggest reasons for this trend in: ‘variations in rates of stamp duty in England and Land and Buildings Transaction Tax in Scotland, may make investing more attractive in the north.’ Lower prices than in England and tax relief on cheaper properties probably also make Scotland an attractive market where it’s easier for these landlords to make a profit.
Not surprisingly, I’d see it as another sign of health in the Scottish economy of the kind I often report here: