University towns are a 'good investment opportunity'

People looking to buy a house in Scotland for investment purposes may wish to consider opting for a university town.

BuyAssociation has stated that in doing so, investors stand to benefit from the guaranteed demand generated by a student population, as well as the flexibility that comes along with it.

Paul Collins, property editor of BuyAssociation, commented: "There are certainly some really good opportunities to rent out to students.

"You have the advantage that the property is only going to be occupied for nine months of the year. You have that summer period where it is going to be empty, so you can do repairs or lease it out further to the tourist trade."

He added, however, that there may be a downside to buying houses in university towns in terms of maintenance and rent, as students do not tend to have a great deal of money.

In August last year, Halifax recorded that 20 university towns in the UK experienced house price growth. In terms of Scottish property, Aberdeen and Dundee have seen a 75 per cent and 64 per cent increase respectively in average house prices over the past three years.