Would-be landlords must research the market carefully and be prepared to carry out important financial and legal tasks before committing to a property purchase, according to a managing partner at Caesar and Howie.

David Borrowman, writing in the Scotsman, urged potential investors to check out local factors such as tax bands and discounts for rental properties. This is especially important as rental discounts vary significantly under different councils.

Another thing that landlords must do is prepare a short-term budget to cover initial start-up costs, safety certificates, agency and council registration fees, as well as any mortgage and insurance costs.

"When you are sure that you can afford your investment, consider the long-term upkeep and management of the property," Mr Borrowman continued.

"It is a good idea to use an agent, but always remember that you get what you pay for, so don't be afraid to ask your agent for references."

Landlords must always ensure that tenants have good references and they should prepare themselves for rental voids during quiet periods, he concluded.

Mr Borrowman's comments come as a survey by mortgage broker Paragon shows that average rents went up from £9,942 to £10,591 between January and April – a rise of 6.5 per cent.