How Renting Your Home In Glasgow Could Be Profitable As Prices Soar Due To COP26
We’ve all heard of real estate prices in Scotland reaching historic highs, but what about the rental market?
According to the Scottish Government’s private sector rental statistics, the average monthly rental price has steadily increased over the past decade, with 4 bedroom properties reaching over £ 1,300 per month in 2020.
That’s a 43% increase since 2010 and the trend hasn’t stopped there, especially as people around the world are looking to descend to Glasgow for the next COP26 summit in November.
Currently, the average monthly rental price for a property in Glasgow is £ 1,242, 25% more than in Edinburgh, contrary to the normal trend that the country’s capital is one of the most expensive areas. from the country.
And it’s not just long-term rentals that are seeing prices skyrocket, Glasgow property owners are looking to take advantage of COP26 visitors by listing their properties for short-term rentals during the conference at higher rates. .
Glasgow properties listed on sites such as Airbnb and Booking.com are widely promoted as perfect for those visiting the city for COP26.
According to Airbnb, property searches during conference dates are up 250% from the Glasgow average over the past 6 months.
In a recent search on the site, a one-bedroom property in the city center with balcony and free parking was priced at £ 936 per night, or over £ 11,000 if you want to rent for the entire conference.
So, if you are considering renting out your property, here are a few things to consider.
If your property is temporarily available, for example, if you are moving for the COP26 conference and planning to return home, then renting it out is a great way to earn some extra cash.
Of course, you will need to cover all expenses related to your own accommodation during this time, such as going on vacation or even moving in with a companion or family member.
Even if you plan to be away longer, no matter what and if your plans change, you will have a place to come home.
Choosing where you are going to stay is an important factor when considering renting out your property.
Maybe you’re moving for work, going on an extended vacation, or moving in with a partner and you’re not quite ready to give up your place just yet.
If your reason for renting out your property is more financial and you are currently taking advantage of the competitive real estate market, you should consider the additional expenses you may incur when moving out of your current property.
Will your commute to work be extended and you will have to pay more for your trips? Are you contributing to other invoices? These are all cost factors that will reduce your rental profit, so it’s worth weighing your options here if you can.
While the extra income is a huge selling point, managing a rental property, even for a short time, comes with a lot of responsibilities and the level of management you provide depends on how much time and money you can save. .
It is your responsibility to ensure that it is up to code, suitable for the rental market, that it is properly maintained, insured and that all repairs are covered.
Even if you choose to outsource the task to an agency, you will need to factor in their fees and factor them in when you assess your expected profits.
Even sites like Airbnb normally charge a small registration fee. It doesn’t matter what coverage you have and who manages the property, as the owner there will also be a bit of extra worry in thinking of someone else living in your space.
You will have to try to log out of the property to avoid sleepless nights wondering if they are having wild parties.
There is a level of confidence that comes with renting your property and owning it, so if handing down those keys adds more stress to your life, will it be worth it?
If you choose to rent, trust Scotland’s largest real estate site, s1homes.
Listing your property for rent is easy and you can reach hundreds of thousands of Scottish tenants every month. Just visit www.s1homes.com/rent/post/ for full details.