Scottish house prices have strongest growth for a year, outpacing England & Wales – Scottish Business News

AFTER falling for five months in a row, average house prices picked up in March by 1.4%, some £3,000, and a positive outcome compared to markets in England and Wales, according to the Walker Fraser Steele March House Price Index. Scotland’s average house price now stands a little above £223,500, that is within £300 of its peak level reached in June 2023. The seemingly marked turn-round speaks volumes about the narrow tramlines within which the market has moved over the past year.

Main bullet points from the report are as follows:

• Strongest Scottish house price growth for a year
• Scotland outpaces England & Wales
• Higher prices in most local authorities
• Sales closely matching year-earlier levels
• Midlothian becomes fifth local authority with average property prices above £300,000
• Average Scottish house price now £223,525, up 1.4% on February, up 1.9% annually

Scott Jack, Regional Development Director at Walker Fraser Steele, commented: “In March, average property prices in Scotland increased by 1.4%, or almost £3,000, following a five month decline. This was a far stronger performance than that witnessed in the English and Welsh markets. Scotland’s average house price is currently just over £223,500, which is about £300 less than its high price from June 2023.

“This significant turnaround speaks volumes about the negligible movement we have seen in recent months.

“Four authorities—Midlothian, Argyll and Bute, Falkirk, and Inverclyde—achieved new heights in terms of their regional average values and the total number of local authorities reporting rising prices was twenty-one, the highest since May of last year – another clear and welcome sign that the market is beginning to stabilize.

“Of particular note is the 1.5% increase for Midlothian which made it the fifth local authority with average property prices above £300,000.

“It’s too early to assume the cost of living pressures are abating but mortgage pricing has been keen over the last couple of months as lenders fight for borrowers. With a general election due this year, we know housing is a key issue for voters and we may yet see some further promises made to buyers and owners before a vote later this year. That would give further impetus to this positive trajectory.”