Edinburgh Letting Market 2025–2026: Landscape & Trends
Edinburgh’s private rental market has been tight, competitive and gradually stabilising following years of rapid post-pandemic rent growth. After a period where rents grew in double digits, 2025 and early 2026 have seen slower price increases, longer vacancy periods and evolving tenant expectations - all against a backdrop of broader housing market shifts in Scotland.
Rents Still Growing, But Slowly
After several years of sharp increases, Edinburgh’s average rents have edged up only modestly:
2025 data show annual rent increases in the low single digits - around 0.4% to ~1.7% year-on-year, depending on the quarter and property type.
Early 2026 estimates suggest overall growth of ~1–3%, reflecting a slowing but still positive trend.
This marks a significant shift from the high double-digit gains seen in previous years, particularly during 2022–2024.
By Property Type
One-bed flats remain most in demand and have seen some of the higher relative increases - more affordable for professionals and students.
Three-bed family homes have also shown resilience, with stronger yield performance and steady rent levels.
Larger homes (three/four-beds) have seen mixed performance, with some categories softer or modestly grown.
Time on Market & Supply Trends
Days on Market
The average time for a property to be let in Edinburgh has moved from very tight conditions (often under 3 weeks) to slightly longer:
Typical letting times have ranged between 24–33 days - longer than a few years ago, showing a mild easing of pressure.
This doesn’t indicate a weak market, demand remains strong, but that supply has caught up enough to give tenants a bit more choice and more viewing time.
Rental Supply & Listings
Industry observers have noted high levels of rental listings in 2025, with unusually strong stock levels for Edinburgh – a shift that partly explains slower rent growth and longer vacancies.
This expanded supply has also brought higher tenant expectations, with more emphasis on quality, energy performance and amenities, especially in desirable neighbourhoods.
Hotspots & Yields
Certain postcodes have continued to outperform others in terms of rental popularity and yields. For example:
EH3 (New Town/West End) has consistently delivered strong yields, especially for one-bed properties, attracting professionals keen to live centrally.
Leith, EH6 / EH7 hotspots, and other areas like South Queensferry have offered competitive returns and solid demand.
These micro-market variations suggest that location and presentation increasingly shape lettings success — quality properties in sought-after postcodes still let quickly and command relative rent premiums.
What This Means For The Year Ahead
Slower rent growth doesn’t mean weak demand - rather a more balanced market where supply has improved and landlords must focus on property quality and EPC performance to attract tenants.
Tenant choice and expectations are rising, especially around energy efficiency, space and amenities - a trend likely to continue as renters become more selective.
Location continues to matter more than ever: central and well-connected areas are outperforming peripheral zones.
Legislative change could reshape long-term dynamics - bringing more stability to some areas while challenging returns for certain property types.
Final Thought
The Edinburgh letting market in 2025–early 2026 is transitioning from a peak-pressure environment into a more mature and steadier phase. While rents are still rising, the pace has slowed, tenants are beginning to benefit from more supply and choice. Landlords who invest in quality and compliance, and who stay alert to evolving policy, are best positioned to succeed in this evolving landscape.
