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🏙 Edinburgh Rental Market 2025: Key Shifts & Hotspots Landlords Need to Know

  • Writer: Sean McMahon
    Sean McMahon
  • Oct 29
  • 3 min read

By Sean McMahon — The Property & Letting Experts Edinburgh (LARN 2503005)



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As we head toward winter 2025, the Edinburgh rental market is stabilising after two years of intense growth. Citywide, the pace of rent increases has cooled, but demand remains high — particularly in desirable postcodes such as Leith (EH6), Easter Road / Broughton / Abbeyhill (EH7), and South Queensferry (EH30).


Here’s a full, data-driven look at how the market is performing across the capital and where landlords are still seeing strong returns.




📈 Average Rents by Edinburgh Postcode (Citylets Q1 2025)


Postcode

1-Bed

2-Bed

3-Bed

YoY Change

EH1 – Old Town

£1,233

£1,556

£2,466

+2.8%

EH3 – New Town / West End

£1,272

£1,621

£2,191

+3.4%

EH4 – Comely Bank / Blackhall

£1,148

£1,412

£1,716

+2.9%

EH5 – Trinity / Granton

£1,052

£1,320

£1,758

+3.1%

EH6 – Leith Shore

£997

£1,272

£1,812

+4.0%

EH7 – Easter Road / Broughton

£1,030

£1,376

£1,897

+4.2%

EH8 – Abbeyhill / Holyrood

£981

£1,329

£1,961

+3.5%

EH9 – Grange / Marchmont

£1,082

£1,437

£1,986

+2.6%

EH10 – Morningside / Bruntsfield

£1,077

£1,535

£1,854

+3.3%

EH11 – Dalry / Gorgie

£961

£1,292

£1,778

+3.8%

EH12 – Corstorphine / West Edinburgh

£1,036

£1,384

£1,839

+3.1%

📊 Source: Citylets Q1 2025 — Postcode Report




🔍 Cross-Referencing with Zoopla & Rightmove Data



To verify trends beyond letting-only portals, we compared Citylets’ rental averages with data from Zoopla and Rightmove, which track live listings and new-let prices across the UK.


  • Zoopla (April 2025): Average UK rent for new lets stood at £1,287 pcm, up +2.8% YoY, with Edinburgh inflation easing to ~4.8% annually.

  • Rightmove (Q1 2025): Average advertised rent outside London was £1,365 pcm, +3.9% YoY.

  • Citylets (Scotland): Reported +4.4% YoY rent growth for new lets across Scotland, down sharply from double-digit highs in 2023.



💡 What this tells us: Edinburgh’s rental market is now moving into a steady, mature phase — where presentation, EPC efficiency, and location quality are the key differentiators.





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🏠 Local Hotspots & Trends



Leith Shore (EH6): Still one of the strongest performers for rental yield. Modernised 2-beds are commanding £1,250 – £1,350 pcm, with waterfront apartments in highest demand.

Easter Road / Broughton (EH7): Excellent mid-range demand, with refurbished 1-beds and 2-beds letting fast when well presented.

South Queensferry (EH30): Growing commuter appeal with new tram connectivity; average 2-bed around £1,150 pcm, strong family demand.

Morningside / Bruntsfield (EH10): Consistently low void periods; rents stable around £1,500 pcm for quality 2-beds.



💼 Rent Arrears & Tenant Affordability



According to Goodlord’s 2025 State of the Lettings Industry report,


  • 29% of letting agents and 42% of landlords say arrears are increasing year-on-year.

  • UK average arrears rate sits at around 2.9% of rents due (up from 2.3% in 2023).



This highlights the growing importance of tenant affordability checks, rent guarantee insurance, and professional management — particularly for landlords managing multiple units.




⚙️ Outlook for Late-2025 & Early-2026



  • Legislation: The forthcoming Housing (Scotland) Bill introduces rent-control powers, enhanced tenant rights, and future EPC changes.

  • Market balance: Supply remains tight, but affordability pressures may limit future rent increases.

  • Investor impact: Well-maintained, EPC-efficient homes will outperform; older stock with poor insulation may struggle to maintain rent levels.





✅ Summary for Landlords


Factor

Trend

Action

Rent levels

Stabilising, +3–4% YoY

Review pricing regulary

Tenant demand

Still strong in EH6/EH7

Target quality marketing

Legislation

Tightening

Stay compliant (EICR, EPC, safety)

Arrears risk

Rising slightly

Use rent-guarantee options

Market outlook

Steady 2025–26

Focus on presentation & EPC upgrades


📞 Call to Action



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If you’re a landlord or investor in Edinburgh, especially the hotspots of EH6, EH7 or EH30, this is the time to review your rent, compliance status, and property’s future value. Don't forget we offer both Rent Guarantee and Legal Protection as part of our Experts Managed Service to landlords and combine this with the added benefit of the 'no deposit option' also offered, means our landlord's are fully protected and with the minimum of void periods.


👉 Book your Free Rent & Compliance Review today — covering tenancy agreements, EICR, PAT, Gas Safety, Legionella, EPC strategy, and market rent adjustment.

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