Spiralling private sector rents could be a thing of the past

New proposals have been announced in Scotland to introduce a Dutch-style points system to determine rent levels.

If introduced, the new proposals to cap rent increases could have a major impact on private landlords who could see their property incomes reduced dramatically.

On the flip side, this would be a positive for many tenants who would see their rent costs slashed and help achieve affordable rent levels for many.

In the proposed paper, it is recommended that an 'initial rent' should be introduced, with a maximum imposed based on a system that would take into account factors including the size of a property, its condition and transport links rather than solely the market rate. 

The private rented sector in Scotland is growing significantly and any new regulations could impact future investment into this sector.

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