In Scotland it is certainly true that there has been a raft of legislation aimed at protecting tenants’ rights and making it more difficult for unscrupulous landlords to evict a tenant on spurious grounds.

The effect of these regulations has been to put off many prospective landlords from entering the market and to considerably shrink the supply of let property across all areas of Scotland. This reduction in supply was largely predicted by lettings agents and all those with an interest in the lettings sector.

Perhaps less widely predicted was the effect of a very highly regulated  sector with regard to rental fees.

There is huge demand for properties in good order, with supply far lower than demand, and as a result rental charges are higher than they have ever been.

Where I live in the Scottish Borders the tourism sector is doing well. We are lucky to have beautiful historic towns such as Kelso, Galashiels and Melrose, superb unspoilt coastlines at St Abbs and Coldingham and excellent routes for walking and mountain biking including the Eildon Hills and the Borders Abbey Way. There is no shortage of visitors who come here to enjoy the wonderful natural scenery, wildlife and history.

Despite this thriving market, many of our clients are now switching from short-term lets to standard residential lets. The time commitment and hassle factor of managing a short-term let is considerable. If you want to maximise your returns you must ensure a high rate of occupancy all year round, amidst considerable competition. This need to continually promote the property, coupled with a real shortage of cleaners at the moment, means owners are investing a significant amount of time marketing the property, answering any queries while the holiday makers are there and then preparing it for the next arrival.

In this current age of Covid, last minute cancellations are also very frequent. One of my clients recorded 250 bed-night cancellations last year. This is not the fault of the person who has to cancel but it results in a major loss of revenue for the holiday-let landlord.

With a residential let, your tenant is likely to stay for 12 months or longer and is responsible for their own utility bills and general cleaning. Given the shortage of property available, landlords can pick and choose between tenants, offering a very good degree of control and peace of mind.

Many landlords have invested in their properties and have so much pride in their beautiful house that they are very keen to see the properties lived in and enjoyed by a responsible tenant. In the current market this is also the best option for a worthwhile financial return.

If you would like to discuss the options for your property, please contact me on 07778000657.