For the third straight month, the Scottish housing market has witnessed a rise in average house prices.
As revealed in the latest Walker Fraser Steele Acadata House Price Index for Scotland, the average price of a house in June increased by £800, or 0.4%, setting the average house price at £224,249. This new figure is £3,466, or 1.6%, higher than it was just twelve months earlier.
Notably, the higher value areas of Edinburgh and Glasgow are observing strong demand. East Lothian retains its position as the local authority with the most elevated average price. Meanwhile, in Edinburgh, every property type experienced a bump in prices throughout June. The most significant surge was observed in flats, which jumped from an average of £275,000 in May to £280,000 in June.
June saw an increase in prices in 15 of the 32 local authority regions in Scotland, which is a decrease from May’s 24 regions. Additionally, Edinburgh’s real estate market has experienced a positive shift in annual growth.
Despite this positive momentum, the property market kicked off the year with its lowest January sales volume in nearly a decade, with 5,865 transactions. Though the figures have since grown to an average of 7,000 sales monthly by the end of June, it’s still the lowest for that month since 2013.
Scott Jack, regional development director at Walker Fraser Steele, pointed out the resilience of the Scottish housing market.
He said “The market’s robustness is all the more impressive given the backdrop of rising inflation across the UK and increasing interest rates.” He further highlighted the mounting concerns of affordability in the mortgage sector, which has been affecting potential homebuyers.
