City home owners to cash in on Festival lets

Published on Friday 1 May 2009 09:42

A RECORD number of Edinburgh residents are preparing to cash in on the Festival by renting out their homes to tourists.

Rental agencies said today their books were packed with properties – some to the point where they were having to turn away people who want to let out homes.

It is no longer just flats and apartments that are going on the market – families are hiring out their detached and semi-detached homes in a bid to make some much-needed money.

Andy Landsburgh, director of Edinburgh Festival Rentals, said: "It is the busiest year we have had. Last year we had a total of 150 properties on our books, but we already have 200 properties signed up and it is only April. That is 50 per cent more properties than we had this time last year.

"People who you wouldn't necessarily expect to rent out are trying to make pocket money. Families are offering up their homes and students are trying to sub-let their flats when they go home for the summer."

He added: "Everybody has realised that the Edinburgh Festival is a way to make good money, and now that finances are tight, tourists are willing to stay a bit further out if it means paying only two-thirds of the traditional cost.

"There is a worry that the surge in properties will drag the price of rentals down overall. Landlords have high expectations of what they can earn, but if there is a larger range of properties on offer at a slightly lower price, it is possible those charging a higher price will suffer."

The Festival Partnership has reported a large increase in enquiries, but owner Jason Redman said he would try not to offer more properties than normal.

"We only offer central flats so we are not touching the properties that are further afield. We don't want an oversupply on our books but we will try and match supply with demand."

Despite the increase in properties available, Mr Redman said that he did not think the prices of central properties would be affected. "Edinburgh is still adopting a robust attitude to pricing. During August you can still make two-and-a-half times more than you would normally."

Let In Edinburgh also has an increased number of properties up for grabs during the Festival.

Managing director Gareth Thomas said: "In April 2008, we had 60 to 70 properties secured. This year we already have 120 to 130. But the demand for properties is still very high. Rental charges don't seem to be down."

Dickens rental firm, which has 120 properties on offer, added that it was not just getting Festival rental enquiries.

Marketing manager Gaby Milione said: "A lot of people who can't sell their properties are coming to us and asking if they can offer short-term let all year round. That is another way to make money in the current situation."

'Fantastic income given the economy'

WHEN Angus Thomson was made redundant a couple of months ago, he worried about how he was going to make ends meet.

He turned to the Edinburgh Festival rental business and now his one-bedroom flat on Thistle Street has been booked for the whole month of August.

During then, the 26-year-old surveyor will stay with his parents, pocketing as much rent in a week as he would earn in a monthly wage.

He said: "I have a place where I can temporarily stay, so I thought 'why not?' It is fantastic income given the economic situation we're in.

"The cash I will make has greatly helped me to set up my new commercial property business."