In a recent study conducted by landlord insurer Simply Business, Glasgow has emerged as the city with the most significant increase in buy-to-let properties over the past year. This marks a notable shift, with Edinburgh, which topped the list in the previous year, sliding to the ninth position. The research also indicates that London maintains its status as the city with the highest number of buy-to-let properties, despite experiencing the least growth.
Glasgow witnessed an impressive 12% surge in the number of buy-to-let properties, securing its position as the top city for such investments in 2023. Nottingham and Leeds closely followed, ranking second and third, both experiencing growth rates exceeding 8%.
London, boasting over 40,000 buy-to-let properties, saw the smallest increase in privately let properties. Meanwhile, Edinburgh, which had the most significant growth in 2022, faced a substantial drop to the ninth position after a modest 5% increase. Leicester also experienced a decline, falling from second to fifth place within the last 12 months. In contrast, Leeds witnessed a remarkable ascent to third place in 2023, having failed to secure a spot in the top five the previous year.
Despite the challenges posed by the current economic climate, a significant number of landlords still perceive rental properties as a worthwhile investment. Half of the surveyed landlords (50%) expressed their recommendation for investing in buy-to-let properties.
Commenting on the findings, Alan Thomas, UK Chief Executive at Simply Business, noted, “It’s heartening to see continued growth in the buy-to-let sector, with our data demonstrating that Glasgow is becoming an attractive spot for landlords to invest.” Thomas acknowledged the challenges faced by landlords in 2023, including economic uncertainty, regulatory changes, and rising costs. With insights from insuring more than 450,000 landlords, Thomas emphasized the crucial role landlords play in providing housing for over five million households nationwide. He stressed the importance of equipping landlords with the necessary information to navigate challenges and continue supplying much-needed housing in the coming years.