A lettings agency chief says a tax perk is making Scotland unusually attractive to larger-scale property investors.  

Robert Ross – who operates Glasgow-based agency Ronald Ross – says a caveat in the Additional Dwelling Supplement (ADS) tax exempts buyers of more than six properties.

He says this makes them immediately 8% better off than if the homes were bought individually.

“Tenant demand remains firm and transaction activity is stable, creating opportunities for investors who are well-capitalised and properly advised” he says.

“Professional buyers, both at home and abroad, are alert to the potential in Scotland for proven investments which are both fully-tenanted and fully compliant. 

“Our focus is on compliance, which ensures efficiency and transparency, and the attraction for investors is undeniable.

“Interest is evident from buyers in the Far East, the UAE and the US but, with lower house purchase prices in Scotland, the difference in yields is a big plus point for London-based investors, and there are far fewer pitfalls around leaseholds and service charges.”

Ross also claims many parts of Scotland now offer residential investors far better yields than those available elsewhere in the UK. 

And he adds that Scotland is now benefitting not only from larger investors with deeper pockets but also smaller landlords keen facing increased red tape.