The Housing (Scotland) Act 2025 represents a major shift for the private rented sector and DJ Alexander Scotland MD, Kevin Fraser (pictured), has warned landlords must prepare now as renting properties has ‘never been more complex.’

According to Fraser, many landlords may not fully understand the implications of the new legislation, which is being phased in over several years and will allow ministers to designate rent control areas following local authority assessments submitted by May 2027.

Following these assessments, ministers will then designate specific areas for rent control, which are likely to come into effect by mid to late 2027 or early 2028.

He warns: “While the timescale for implementation of the Housing (Scotland) Act may seem some way off, it is essential for landlords to ensure that they are prepared now for the implications it will have on their business.

This is a major piece of legislation that impacts the legal, regulatory, and financial operation of the private rented sector.”

“This is a major piece of legislation that impacts the legal, regulatory, and financial operation of the private rented sector, and landlords need to be aware that their business will be affected.”

He adds that the Act will affect landlords’ ability to operate, their profitability and their relationship with regulators and tenants. And smaller landlords, who often manage between one and five properties, may find it difficult to keep up with the scale of change.

Limitations on rent

And he concludes: “This Act will potentially limit the amount landlords can raise rent; it may force landlords to allow tenants to make alterations to properties and to have pets; and it has the potential to have a serious impact on the viability and profitability of homes in the letting sector. But there are solutions to ensure that landlords can continue to operate a successful letting business with the right information and advice.”

DJ Alexander is hosting two free landlord events to help explain the changes: one in Edinburgh on 26 November and another in Aberdeen on 27 November, offering accountancy, financial, legal and property guidance for those preparing for the Act’s rollout.

Tickets are available here.