What was the private rental market in Scotland like in Q1 2025?

The latest Citylets report is now available, highlighting how the private rental sector in Scotland performed during the first quarter of 2025.

Scotland’s private rental market entered 2025 with a rare bit of good news: rent caps within tenancies officially came to an end on April 1st. Although longer-term rent controls are still planned, the lifting of restrictions brought some relief to landlords and letting agents, marking the first return to open-market conditions in over two years.

Rental growth for new leases continued to cool in Q1, aligning more closely with inflation and reflecting patterns last seen before the 2022 surge. With rent levels now stabilised in key regions, many believe there's little justification for continued price controls.

Property listings stayed on the market longer, yet rental prices held steady, even as the number of available homes increased beyond recent averages. Some landlords may now be more flexible on price, reassured by the ability to adjust rents to market value after a year, if trends support it.

The dynamic has shifted: supply is finally catching up to demand, giving renters more options. Smaller properties remain in high demand, but uptake has slowed for larger, premium homes outside the HMO (House in Multiple Occupation) category. That said, student demand kept the four-bedroom segment strong.

The government’s proposed rent cap - CPI plus 1 - alongside potential exemptions for Build to Rent (BTR) projects, has sparked renewed hope for increased housing stock, especially in pressured urban markets. A public consultation is also exploring whether landlords should be able to recover costs tied to property upgrades, like energy efficiency.

Despite lingering uncertainties, the sector enters spring with cautious optimism.

In the first quarter of 2025, rental prices across Scotland continued to rise modestly, with year-on-year increases remaining in the single digits.

Among property types, four-bedroom homes experienced the most significant annual growth, with average monthly rents rising by 5.3% to £2,048. Over the past five years, however, three-bedroom properties have seen the steepest overall increase, climbing 51.6% to reach an average monthly rent of £1,469.

Letting times across Scotland continued to lengthen, with the average property now taking 33 days to let - five days longer than the same period last year. Despite this, 16% of properties were let within a week, and 58% were let within a month of being listed. One-bedroom homes remained the most sought-after, taking just 26 days on average to let; 20% were let within a week, and 68% within a month.

The rental market in Edinburgh

Average rents in Edinburgh

Average rent in Edinburgh increased slightly compared with Q1 of the previous year. The average cost of renting a property in the capital rose by 1.7% year-on-year, to £1,506. The increase between Q1 of 2023 and Q1 of 2024 was in the double digits, so this marginal but stable rise represents a calmer market with much less frenzied demand for rental properties.

3-bedroom properties in Edinburgh saw the biggest gains year-on-year, with rents rising 2.1% to an average of £1,935, highlighting demand from families seeking rental accommodation in the capital.

Rental rates on 1-bedroom properties saw a small increase also, up 1.9% to an average of £1,055. Although this was a slight decrease compared to the previous quarter (Oct - Dec 2024).

Time to let in Edinburgh

In Edinburgh, rental properties took an average of 33 days to let - five days longer than the same period last year - offering some welcome news for tenants.

One-bedroom properties saw the quickest turnaround, being let in just 24 days on average. Of these, 18% were rented within a week of listing, and 70% were let within a month.

Despite this, the overall rental market was noticeably slower than in recent times. Only 13% of all properties were let within a week, and 58% within a month, reflecting a more subdued market that continues the quieter trend observed at the end of 2024.

Looking to invest in Edinburgh? Search for houses and flats for sale 

The rental market in Glasgow

Average rents in Glasgow

The latest figures from Citylets show that rental prices in Glasgow have continued to rise, albeit at a slower rate than in previous periods. In the first quarter of 2025, the average monthly rent for a property in the city reached £1,150, reflecting a modest year-on-year increase of 0.5%.

Among property types, three-bedroom homes saw the most significant annual growth, with average rents rising by 9.4% to £1,673 per month. This trend mirrors broader patterns seen across Scotland, particularly in Edinburgh, suggesting a growing appetite for family homes.

Conversely, rents for smaller properties dipped. One-bedroom properties experienced a slight annual decline of 0.6%, falling to an average of £866, while two-bedroom properties dropped by 1.7%. These reductions point to a waning demand for properties typically favoured by young professionals and couples.

Time to let in Glasgow

Experiencing the same as Edinburgh, and indeed Scotland as a whole, the average time to let a property in Glasgow was 33 days, which is five days slower than the previous year.

Despite a slower market overall, one-bedroom flats remained the fastest to let, averaging 27 days, though this too represents a seven-day increase compared to the previous year.

Notably, 17% of Glasgow rentals were let within a week of listing, while 57% were secured within a month. One-bedroom properties stood out again, with 24% renting in under a week and 68% within a month, indicating ongoing interest in this segment despite the slight dip in average rent.

Looking to invest in Glasgow? Search for houses and flats for sale

The rental market in West Lothian

Average rents in West Lothian

In West Lothian, the average monthly rent increased by 6.4% compared to Q1 2024, reaching £991. However, this still marks a decline from the Q4 2024 average of £1,157.

Two-bedroom properties saw the most significant rental growth in the region, rising by 6.4% to an average of £851 per month. While three-bedroom homes have shown the greatest rental increases over both five- and ten-year periods, their average rent dropped by 4.7% recently, suggesting a decline in demand for larger, family-oriented properties.

Time to let in West Lothian

Properties in West Lothian let in an average time of 29 days, which was eight days slower than the same period in 2024. 8% of all available West Lothian rental properties were let within a week, and 59% were let within a month.

West Lothian's one-bedroom properties showed the strongest results in terms of time to let. One-bedroom properties were let within 25 days on average, 16 days slower than the previous year. 27% of one-bedroom properties let within a week of being advertised, and 73% let within a month.

Looking to invest in West Lothian? Search for houses and flats for sale

Find out more

Read the full Citylets report.

Search houses and flats to rent in Edinburgh.

ESPC Lettings

If you’re interested in entering the buy-to-let market or are a landlord looking for advice, ESPC Lettings can help. As a letting agent based in Edinburgh, we can assist with all stages of renting out a home, from finding the right property to sourcing tenants to property maintenance.

Get in touch with the team today on landlord@espc.com or 0131 253 2847.