ESPC House Price Report August 2016
Read the latest analysis from ESPC on what’s been happening in the east central Scotland housing market.
- The average selling price in Edinburgh increased by 7.7% between June and August of this year, compared with the same time period in 2015
- Due to a shortage of housing stock, the number of homes sold in east central Scotland between June and August of 2016 decreased by 8.1% annually
- The percentage of sales achieving or exceeding their Home Report valuation rose from 61.3% between June and August of 2015 to 71.1% in 2016
- The median selling time in east central Scotland is 37.7% faster when compared to the same three-month period a year ago – from 34 days down to 21 days
- 83.2% of properties listed between June and August 2016 were marketed as offers over, compared with 70.3% in 2015.
House prices continue to rise despite Brexit concerns
House prices in east central Scotland are continuing to increase year-on-year, despite predictions that Brexit would have an effect on property prices, according to the latest analysis from ESPC.
The average selling price in east central Scotland has increased by 6.2% over the last three months, compared with the same time last year, while the average selling price in Edinburgh has increased by 7.7%.
Some areas in Edinburgh have seen larger spikes than others, with two bedroom flats in Bellevue, Hillside and Broughton increasing by 20.7% and one bedroom flats in the Leith area continuing to be popular, with a 14.4% increase in average property prices. With a number of new businesses, student accommodation and a Starbucks opening up on Leith Walk, we are anticipating this area will continue to be popular.
Three bedroom houses in Currie, Balerno and Juniper Green seeing a 25.3% increase in average house prices. However this increase could be attributed to a 14.3% decrease in average house prices in the area during the same period last year.
In other regions of east central Scotland, average property prices in West Fife and Kinross have increased by 6% year on year, however East Fife has seen a 6% decrease. East Lothian and Midlothian are continuing to be popular places to buy, with increases in average prices.
We are continuing to see a drop in the number of homes being sold. Before the EU Referendum, we saw an almost 3% dip in volumes when compared with last year. However over the past three months we have seen an 8.1% decrease in sales volumes, and, for the number of properties being brought to market, a 10.6% drop.
ESPC’s business analyst Maria Botha-Lopez said: “With less properties being brought market we are continuing to see a demand for good quality homes for sale, and this is resulting in faster selling times (21 days on average, compared with 34 days during the same time period last year), and 83.2% of properties being marketed as offers over.
“With two months of post-Brexit data now available, we do see a continued effect on volumes when comparing sales and new listings before and after the referendum on 23rd June. However the property market in east central Scotland continues to be robust, and we are still in a seller’s market, as has been the case over the last year.
“We also carried out a survey of our member firms to find out their thoughts on the property market over the last three months. They told us that while Brexit has had limited impact, the main reason buyers are not choosing to move home is that there is a shortage of housing stock. This could be a good time for those thinking about selling their property to do so now, as we are experiencing faster selling times and 71% of properties achieving their home report valuation or above.”