Optimism flat out in student home market

Published on Monday 10 August 2009 09:59

STUDENT accommodation is bucking the downward trend in the rental market by becoming sought-after properties.

According to letting agent Braemore Property Management, student flats have become the hottest homes in the rental market, with some prospective tenants willing to sign up for a flat more than six months before moving in.

A high level of demand, coupled with a traditional shortage of student properties in cities such as Edinburgh, has made student flats immune to the rent falls.

Now some lettings firms in the city are even refusing to put waiting lists up for student properties due to the high demand among undergraduates.

Braemore director Colette Murphy said: "We've seen rent falls across other parts of the rental market in recent months as there has been greater competition among landlords for tenants.

"However, student flats are definitely proving the exception to the rule."

Ms Murphy added that student properties are also good buy-to-let investments, as students will pay between 275-325 a month for a double room in a flat in a traditional student area such as the Southside or Marchmont.

Double rooms in the New Town can fetch between 350-350.