Why let instead of sell?

There are several key advantages of renting over selling. Firstly, the Edinburgh property market is exceedingly durable and property prices continue to rise, meaning homeowners who retain their property can benefit from long-term capital appreciation while earning rental income.

Alongside this, Edinburgh’s high demand for rental homes from students, professionals, and families provides property owners with a steady stream of potential tenants. In a rental market that’s seen a steady increase in rental yield over the last five years there is plenty of opportunity.

Letting a home offers an alternative revenue stream, helping to offset mortgage payments and other financial commitments. It also allows homeowners to maintain some flexibility. Selling is a permanent decision, whereas renting allows homeowners to keep their options open, whether they wish to return to the property or sell at a more favourable time in the future.

The financial value of letting

Edinburgh’s rental market remains one of the strongest in the UK. We are currently seeing many areas with strong rental yields. For example, one bed flats in EH3 (including Fountainbridge and the West End) gaining rental yields of 7.6 per cent and three bedroom homes in nearby EH11 with 7.8 per cent. With property prices showing consistent growth, homeowners who choose to let rather than sell stand to gain from both rental income and increased property value over time.

Expert advice for homeowners

For those considering letting, I always have some clear advice. Initially, seek a free rental valuation to understand the earning potential of the property. Engage with mortgage advisors and letting specialists to explore financial and tax implications. Finally, decide between self-management or working with a professional letting agency (like ESPC Lettings) for a stress-free experience.