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Short-lets ‘could produce more problems than traditional long-term letting’

Buy-to-let landlords are being urged to think twice about moving to holiday letting following proposed regulatory and financial changes to the status of Airbnb in Scotland and Bristol. 

The crackdown on the short-term rental platform should be regarded as a warning to landlords considering moving their properties into the holiday letting market, according to Apropos by DJ Alexander Ltd. 

Some landlords have been tempted to shift their properties onto short-term holiday letting as the returns on traditional letting have diminished, but the property management firm believes that the proposals in Scotland and Bristol aimed at curbing the growth of Airbnb and other holiday letting outlets could impact on the future viability of many properties.


Airbnb report that they have 223,200 active listings in the UK generating £854m with average earnings for the owners of £3,100 per year. The growth in some parts of the UK has been substantial with Edinburgh, for example, now having over 12,000 hosts which has doubled in the last three years.


In Scotland, Airbnb have 31,000 active listings earning £129m and average annual earnings of £3,800 which are the highest of any part of the UK.

David Alexander joint managing director of apropos by DJ Alexander Ltd, said: “Many landlords have felt tempted toward short term letting with its potentially higher returns at a time when margins in the private rented sector (PRS) are being squeezed. 

“This financial squeeze, coupled with government cuts to tax reliefs, has meant that many landlords have viewed Airbnb as an attractive option. 

“But the proposed changes in Scotland and Bristol to the way in which the holiday lettings market is regulated could produce more problems than traditional long term letting.”

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