‘Nervousness’ keeping many homes off the market
Scottish house prices continue to go on rising
Published:
House prices continue to rise across Scotland despite an overall drop in sales, official records revealed yesterday.
The average cost in the first quarter of this year was £150,257 — 7.4% higher than the same period in 2007.
The Registers of Scotland report showed that the comparable increase came despite an “expected” dip from a peak of £158,360 at the end of last year.
The report found the volume of all registered sales — cash and mortgage — in the first quarters of 2007 and this year dropped by just under 10% to £4.1billion.
Geoff Lockett, a partner at estate agents Strutt and Parker, said “nervousness” fuelled from the south of England meant fewer properties were on the market.
He said: “It’s good news for Scottish homeowners, not so great for solicitors.
“Property speculation has virtually ground to a halt, investment is massively reduced. That’s why there are fewer properties coming on the market.
“The supply and demand balance remains because fewer people are buying and selling.”
He continued: “I think the next 12 months will be a steady market with no significant growth or decline.
“It wouldn’t surprise me if the English market reduced in value.”
The report showed the north-east is still outperforming the rest of the country, with year-on-year prices up by 13.8% from £151,965 to £172,930.
Other regions recorded increases, from 4.8% in Lothian to 8.8% in Central.
Homes in Lothian, which includes Edinburgh, are still the most expensive in the country, at £187,316.
Glasgow remains the largest market with sales of more than £1.3billion for the quarter, but the area recorded a drop of £121million compared to the same quarter in 2007.
