Average House Price Scotland - ESPC House Price Report - March 2025

Property Market Data - Key Points:

• The average selling price of property in Edinburgh, the Lothians, Fife and the Borders was £283,912 during January - March 2025, up 6.1% year-on-year.
• Properties achieved 100.8% of their Home Report valuation on average, down 0.2 percentage points on the same time last year.
• New property listings were down 1.7% while sales volumes increased by 4%.
• The median selling time for property was 32 days, two days slower than the period January - March 2024.

Most regions enjoyed an increase in the average selling price

The average selling price of property in Edinburgh, the Lothians, Fife and the Borders was £283,912 in January - March 2025, an annual increase of 6.1%.

In the capital, there was a notable jump of 6.8%, resulting in a new average selling price in Edinburgh of £304,064. Taking a more granular look at the performance of the property market in the capital, we can see that the north-west of the city had a notable increase in the average selling price.

Midlothian and the Scottish Borders experienced healthy increases in the average selling price, rising 3.2% and 3.8% respectively. Recording a new average selling price of £217,517, making it the most affordable region, West Fife & Kinross experienced a modest year-on-year increase of 0.8%.

Elsewhere, East Fife saw a 13.8% increase year-on-year and there was also significant growth in West Lothian, where average selling prices increased 9.5% to £290,751. The only region bucking the positive trend was East Lothian, which saw a slight decrease of 1.9% compared to the previous year, which is likely due to an increase in sales of 1- and 2-bed flats in Musselburgh.

Encompassing popular commuter towns such as South Queensferry, Kirkliston and Dalmeny, the area recorded an 18.1% increase year on year, resulting in a new average house price of £309,287. In the city centre, home to desirable locations such as Stockbridge, Old Town and Tollcross, the average house price rose to £352,568, an increase of 11.7% compared to last year.

Dunfermline offered more affordable options than many other areas, with an average selling price of £219,589 - a 6.9% increase on the same time last year. One- and two-bedroom flats in the city were among the most budget-friendly properties available, with average selling prices of £89,813 and £154,406 respectively, making them an ideal choice for first-time buyers or those in the earlier stages of their property journey.

Buyers were increasingly keen to secure a property for a competitive price

The average percentage of Home Report valuation achieved across Edinburgh, the Lothians, Fife, and the Borders between January and March 2025 stood at 100.8%. This is just 0.2 percentage points lower than the same period last year, reflecting market stability and providing reassurance to sellers that conditions remain relatively predictable. For buyers, the pressure to pay significant premiums has eased, allowing them to secure properties closer to their Home Report valuation.

All regions covered in the report experienced a decrease in the average percentage of Home Report valuation attained, with the exception of West Fife & Kinross which saw no change, retaining a figure of 101.5%.

The most notable shifts were seen in East Fife and Midlothian. In East Fife, the average percentage of Home Report valuation paid dropped by 1.6 percentage points to 99%, while in Midlothian, it fell by 0.8 percentage points to 100.6%.

Meanwhile, 68.3% of properties sold for at least their Home Report valuation, a slight dip from 68.4% in the same period of 2024.

This remains encouraging news for buyers and those looking to move up the property ladder. With selling prices now more closely aligned with Home Report valuations, purchasing a home has become more affordable. The reduced need for overbidding means buyers can allocate more funds towards their mortgage deposit, improving overall affordability.

Properties took longer to sell but West Fife moved briskly

The median time for properties to go under offer between January and March 2025 was 32 days, which is two days longer than the same period last year. This is encouraging news for both buyers and sellers, as it reflects market stability and provides consistency for all parties. Buyers have more time to carefully consider properties, while sellers can feel confident that their homes will still attract offers within a few weeks.

As expected, selling times varied across different regions and property types, with some areas seeing higher demand. West Fife & Kinross stood out as a particularly competitive market, with homes going under offer in just 18 days on average.

In the capital, properties sold in 32 days, the same rate recorded the previous year. However, looking at some areas within Edinburgh, the market moved briskly. Properties in the west of Edinburgh, including Gorgie, Chesser and Dalry, flew off the market in just 21 days, four days quicker than during January - March 2024.

Within West Fife & Kinross, Dunfermline proved to be especially fast-moving. The city recorded a median selling time of just 18 days, with two-bedroom houses selling the quickest, typically going under offer in only 8 days. Two-bedroom flats in Dunfermline also saw increased demand, selling in a median time of 11 days - 9 days faster than the previous year.

Additionally, 17.3% of properties went to a closing date, down by 2.1 percentage points compared to the same period last year. This, combined with a steady average selling price and relatively stable median selling times, suggests that homeowners are setting realistic asking prices, enabling buyers to make well-informed decisions when placing offers.

Sales volumes continue to rise at a steady rate

Property sales across Edinburgh, the Lothians, Fife, and the Borders saw a 4% year-on-year increase between January and March 2025, despite a 1.7% annual decline in the number of properties listed. This suggests a rise in active buyers within the market.

Dunfermline recorded the highest number of property sales, though transactions were down 22.6% compared to the previous year. Leith remained the second most active area for sales, despite a slight 1.2% decrease, while Corstorphine experienced a 5.5% annual increase, highlighting its appeal as a desirable location near Edinburgh city centre. Musselburgh followed closely, with a notable 24% year-on-year rise in sales volumes.

Looking at specific areas of Edinburgh, Gilmerton experienced a huge surge in the number of property sales, increasing by 169.2% year-on-year, while in ever-popular Portobello, the appeal of this coastal suburb was backed up by a notable rise in sales volumes.

Regarding property types, one- and two-bedroom flats in Leith were the most in demand, with sales of one-bedroom flats rising by 32% year-on-year. Musselburgh also remained a top choice for young professionals, with sales of two-bedroom flats climbing 50% annually.

Four-bedroom houses in Dunfermline were the third most-popular property type, despite sales volumes dropping 3.8% year-on-year. The appeal of Dunfermline for first-time buyers was evidenced in the data, as two-bedroom flats were the fourth most purchased property at an average selling price of £154,406.

New property listings remained fairly similar to the previous year

The volume of properties listed for sale across Edinburgh, the Lothians, Fife and the Borders was very comparable to the same time last year, with a reduction of just 1.7%.

Mirroring the top four areas for sales volumes, Dunfermline, Leith, Corstorphine and Musselburgh were the areas experiencing the highest volumes of property listings. Despite seeing decreases of 16.9% and 6.7% respectively, Dunfermline and Leith occupy the top 2 spots for listings. Corstorphine was third with a modest rise of 1.9%, while Musselburgh enjoyed the biggest surge in listing, rising 16.9% year-on-year.

Once again, two-bedroom flats in Leith were the most commonly listed, increasing 20.8% annually, followed by three-bedroom houses in Dunfermline, which increased 5.7% year-on-year.

Three-bedroom houses in both Gilmerton and South Queensferry also fared well, seeing increases in the number of properties coming to market of 64.3% and 57.1% respectively.

It was positive news for sellers in terms of marketing their properties as well, with 87.4% of homes listed under the 'offers over' pricing model, an increase from 75.2% the year before.

What does it mean for the local property market?

CEO Paul Hilton commented:

“The first quarter of 2025 presents a consistent picture for the property market, with the trends of the past few months continuing. We are certainly seeing a market that is strong for buyers, with plenty of options available, reduced expectations to pay high premiums, fewer closing dates and longer selling times, giving househunters ample opportunity to shop around to find their ideal home. There is plenty of interest and activity among property buyers, but with a steady flow of properties on the market, it allows for calmer seas for those in a position to purchase.”

“It's also fantastic to see a continuing rise in sales volumes, providing clear evidence that the market is thriving, giving sellers strong confidence and a positive outlook as they navigate their property sales.”

“Sales volumes in the capital continue to grow at a steady rate, with ever-popular Leith appealing to young professionals and first-time buyers, while Corstorphine remains highly desirable for families. Demand is also particularly high in Midlothian and West Fife and Kinross as buyers continue the trend of seeking larger more affordable homes with an easy commute to the Capital.”

Looking ahead, strong competition is set to continue, with well-priced properties attracting swift interest. The market remains buoyant, offering positive conditions for both buyers and sellers as we move into the warmer months of the year.”

“If you’re thinking of buying or selling a property in Edinburgh, the Lothians, Fife, or the Borders, contact your local ESPC solicitor estate agent today.”