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Glasgow tops league for buy-to-let student properties

Glasgow tops league for buy-to-let student properties

Glasgow is the best UK location for investors in the student buy-to-let property market, according to research.

The city tops the league table by netting landlords’ annual pre-tax returns of almost 5% on their investment.

Edinburgh also performed above the UK average, with returns of nearly 4% for investors.

The figures were released by property website Zoopla.co.uk, which analysed average gross yields on four-bedroom student properties across the UK.

Gross yield is defined as a yearly return on an investment before the deduction of taxes and expenses.

The researchers concluded Glasgow, with an average monthly rent of £1,083 for a four-bedroom house, produced a gross yield of 4.95%, surpassing the likes of London, Oxford and Cambridge.

Edinburgh area, which also includes St Andrews in Zoopla’s figures, came second on the Scottish league table with yields for landlords of 3.96%. There, average monthly rents for four-bedroom properties come in at £1,474.

Stirling was the third best Scottish investment prospect for landlords, with gross yields of 3.6%.

Looking at Scotland as a whole, Zoopla found the average gross yield for landlords stands at 4.17%, beating the UK average of 3.8%.

The average rent for four-bedroom houses north of the border is £1,154.