ESPC House Price Report January 2016
Want to find out what's been happening in the east central Scotland property market? Then read on.
- The number of homes sold in east central Scotland between November 2015 and January 2016 rose by 5.1% annually.
- The average selling price in Edinburgh increased by 1.9% between November and January of this year, compared with the same time period in 2014.
- The number of new homes brought to market between the months of November and January decreased by 15.1% annually.
- The median selling time in east central Scotland is 37% faster when compared to the same three-month period a year ago – from 56 days down to 35 days.
More homes are being sold, and are selling faster, according to ESPC
There has been a notable drop in the number of properties being brought to market, according to the latest ESPC House Price Report, which covers the three month period from November 2015 to January 2016.
These latest figures reveal that the number of new homes brought to market between the months of November and January decreased by 15.1% annually, compared with the same months last year, just prior to Land and Buildings Transaction Tax (LBTT) coming into effect, which caused a spike in the market.
The number of homes sold in east central Scotland rose by 5.1%, reinforcing the market as being in favour of the seller. With less properties being brought to market, there is more demand for those that are up for sale. With the percentage of sales achieving their Home Report valuation increasing from 46.8% between November and January of 2015 to 58.7% in 2016, and a 37% faster median selling time, now is a really good time to bring your home to the market.
The average selling price in east central Scotland between November and January of this year remained at the same level when compared with the same time period in 2015. However there were fluctuations depending on the area, with two bedroom flats in the Leith, Shore and Granton area increasing by 18.2% and three bedroom houses in the Currie, Balerno and Juniper Green area showing a 16.3% year-on-year increase.
Following a mini-boom in house prices in Fife throughout 2015, the figures over the last three months reveal a 15.3% drop in average prices in east Fife, and a small 1.5% increase for properties in Dunfermline.
ESPC’s business analyst Maria Botha-Lopez says: “While we’ve seen a notable drop in the number of new homes being brought to market in east central Scotland, we have to keep in mind that we are comparing the number of new listings with the same period last year, when the introduction of the Land and Buildings Transaction Tax (LBTT) was announced. At that time, sellers decided to bring their properties on to the market to meet buyer demand for purchasing homes prior to the effective date of the new tax rates. The LBTT changes last year and the rise in instructions in the corresponding quarter means that this year’s reductions look more pronounced.
“With a new tax supplement on second homes coming into effect from 1st April, where sales must be concluded by this date, this could be a good time to sell, particularly for one and two bedroom flats, as we anticipate a rise in demand in the coming months for the buy-to-let market, to avoid the extra charges.”
Got a question? Have a look at our House Price Report FAQs.
Want to know about previous months and years? Read our historical house price data.
Want to read the latest House Price Report every month? Sign up to our newsletters.