ESPC research found the best postcodes for rental property in Edinburgh in Q2 2025, with strong yields for (BTL) buy-to-let investors.
Data from Citylets and ESPC’s house price insights showed five postcodes with solid investor results.
EH1, which covers the Old Town and Princes Street, remained popular with tenants.
One-bedroom properties returned yields of 5.8%, two-beds 6.2%, and three-beds 6.6%.
EH5 covers areas such as Trinity, Inverleith, Granton, Pilton, Crewe and Newhaven.
The area offered a range of property types and attracted a mix of renters.
One-bedroom homes achieved yields of 7.0% and two-beds returned 5.9%.
EH6 includes Leith and surrounding areas.
The area continued to attract tenants due to its bars, restaurants, and transport links.
Two-bed homes averaged a 6.0% yield, with one- and three-beds both returning 6.1%.
EH8 covers Meadowbank, Abbeyhill, Holyrood, Newington and Willowbrae.
The area appealed to students, professionals and families.
One-bed yields reached 6.9%, two-beds 6.7%, and three-beds 8.6%.
EH11, covering Gorgie, Dalry, Polwarth, Shandon and Slateford, achieved strong results with affordable prices and demand from tenants.
One-beds returned 6.0% and two-beds 6.3%.
Three-bedroom properties stood out with a 9.3% yield, the highest in the city for the period.
Nicky Lloyd, head of ESPC lettings, said: “Q2 has started to see an upturn in new landlords looking to move into the private rental sector with more people looking to invest.
“We’ve also seen an increase in property owners choosing to rent out their existing properties rather than sell, allowing them to be more flexible with when they may want to sell in future whilst being able to achieve an income from the property.
“Demand remains high as always with one-bedroom properties in central locations being the more sought after.”
Lloyd added: “Traditionally, one- and two-bedroom homes have delivered the highest yields in the Capital.
“However, in Q2 of 2025, three-bedroom properties in several desirable areas of Edinburgh preformed exceptionally well, reflecting increased demand from families seeking larger rental homes in desirable areas.
“While smaller flats remain highly sought after by professionals and couples, this evolution in the market offers new opportunities for landlords looking to diversify their portfolios.”