Analysis by Nested, the fashionable property agent, has proven that whereas the Scottish property market isn’t immune from the cooling market situations seen elsewhere throughout the UK, a lot of Scottish areas are persevering with to learn from excessive charges of home worth development.
Nested analysed transaction ranges and home worth development throughout every space of Scotland to disclose how the Scottish market is fairing on an annual foundation.
Very similar to the remainder of the UK, the Scottish market has begun to chill following the pandemic market increase. In truth, during the last 12 months 100,536 houses have bought throughout the nation, a 7% drop versus the 12 earlier 12 months.
The Western Isles has seen the biggest decline in market exercise, with transaction ranges falling by -28% during the last yr. There was a decline of -21% throughout the Orkney Islands, whereas Inverclyde (-20%), Angus (-19%) and Aberdeenshire (-17%) have additionally seen among the highest reductions in market exercise.
Nonetheless, East Lothian (+4%), Stirling (+2%), East Dunbartonshire (+2%), Midlothian (+1%) and East Renfrewshire (+0.1%) have all registered optimistic motion.
However regardless of a largely cooling market, some areas of Scotland are persevering with to put up sturdy charges of home worth development on an annual foundation, with East Lothian once more rating prime.
Whereas home costs throughout Scotland as a complete have climbed by simply 3% since this time final yr, the typical property in East Lothian has seen a 16% improve in worth.
Regardless of seeing one of many largest reductions in market exercise ranges, the typical home worth throughout Inverclyde is up by 12% yearly, whereas Renfrewshire has seen an 8% uplift.
Home costs are additionally up by 5% or extra within the final yr throughout Perth and Kinross (+6%), West Lothian (+6%), Fife (+5%) and Edinburgh (+5%).
Andy Reid, Nested’s Regional Accomplice for Scotland mentioned, “The Scottish market has carried out extraordinarily effectively throughout the pandemic however evidently each inch of the UK property market is at present feeling the results of excessive inflation and rising rates of interest, as purchaser hesitations are inflicting a discount in market exercise.
Whereas a drop in demand will inevitably convey a home worth correction, it appears as if many areas of the Scottish market have to this point remained impervious and, the truth is, proceed to register very sturdy charges of home worth development.
So for Scottish sellers, now stays nearly as good a time as any to enter the market and whereas it might take a short while longer to safe a purchaser, the probabilities of securing a superb worth once you do are nonetheless excessive.”