Midlothian property market update

Topics

Midlothian property market data – key points 

  • The average selling price of property in Midlothian increased 13.7% year-on-year during August-October 2022. 
  • The median selling time dropped to 14 days. 
  • Sales volumes were down 8.2% year-on-year during this time, while there was no change in new property listings. 
  • Buyers paid 107.5% of Home Report valuation on average for homes in Midlothian. 
  • 38.3% of Midlothian sellers opted to set a closing date during this time. 

Average property selling prices in Midlothian 

The period of August-October 2022 was an interesting one to look at for the property market in Midlothian, with a rise in demand and competition from buyers despite some of the recent unprecedented changes in the financial market, with an increase in the Bank of England base rate to 2.25% in September (an increase from 0.25% at the start of 2022), and rising energy bills. 

The post-pandemic era has seen an incredibly buoyant property market with a distinct lack of housing stock, coupled with high selling prices and quick selling times. In August, mortgage approvals were the highest they’d been throughout 2022 highlighting the fact that buyer confidence in the market remained  strong. The mini-budget was then introduced in September, which alongside rising interest rates and increases in utility bills and living costs since October, caused some speculation about impact on house values. 

However, Scotland’s housing market has traditionally remained robust and feedback from ESPC solicitor estate agent member firms confirms that there is still strong interest from buyers and sellers and the data certainly indicates the popularity of property in Midlothian over this time.  

Midlothian recorded one of the highest price increases within ESPC locations over the past three months, with buyers taking advantage of more affordable homes within easy reach of the Capital.  The average selling price for homes in Midlothian was £266,975, an increase of 13.7% annually. 

Properties in Gorebridge had the highest average selling price at £266,249 – 25.6% higher than the same time last year. Meanwhile, homes in Loanhead saw the biggest average selling price increase at 32.7%, taking the new average there to £252,862. 

Two-bedroom flats in Bonnyrigg were the most affordable property type in Midlothian, with an average selling price of £173,318. 

Volume of property sales and homes coming to market 

Comparing August-September 2022 to the same time period last year, sales volumes were down 8.2% in Midlothian, however, increases in sales volumes were recorded in popular locations such as Bonnyrigg (up 56.7%), Gorebridge (up 12%) and Newtongrange (up 14.3%). 

In terms of property types, three-bedroom houses in Bonnyrigg and Penicuik performed best across Midlothian, with clear demand for this property type. However, two-bed flats in Bonnyrigg had the greatest increase in volume of sales – rising by 85.7% annually. 

New properties coming to the market remained the same as August-October 2021. 

The greatest volume of homes listed for sale were three-bed houses in Penicuik, with no change annually. This was followed by three-bed houses in Bonnyrigg, up 30.8% year-on-year. 

House selling times in Midlothian  

The full effects of the recent rises in interest rates on the housing market remain to be seen but with the cost of living taking its toll on households we would expect buyers to be slightly more cautious price-wise when offering for a property. Those sellers looking to make their own property purchase would also benefit from this tactic.  

Buyers continued to compete for homes in Midlothian during August-October 2022. 

The median selling time was 14 days, two days slower than August-October 2021. 

A total of 38.3% of Midlothian homes went to a closing date during this time, down from 47.3% last year. 

Average percentage of Home Report valuation achieved 

However, buyers were still willing to pay a higher price in order to secure a property in Midlothian. On average, properties attained 107.4% of their Home Report valuation, a decrease of 0.2% compared to the same period last year. 

Midlothian housing market remains robust  

Paul Hilton, CEO of ESPC, said: “It’s been a busy three months in the property market with plenty of buyer interest resulting in an increase in the average selling price of properties in Midlothian.  

“While the impact of the recent economic changes on the housing market is uncertain, regardless of any short-term fluctuations in the marketplace, homeownership in Midlothian has historically proved to be a sound medium term investment.” 

“Bonnyrigg and Penicuik continue to be popular areas for families who want homes with city centre accessibility, while demand for three-bedroom houses continues. 

“For those who want to buy a home in Midlothian, expert advice from your ESPC solicitor estate agent on property types and the long-term value of home ownership is key.” 

Thinking about selling? 

If your property in Midlothian is currently on the market, we are still seeing interest from buyers and healthy demand. Speak with your solicitor who will keep you up to date with the latest market data and more importantly, actual selling prices in your area. It is important that you get the marketing price right and understand that it is important to set realistic expectations on what you could achieve on your sale. 

Are you a first-time buyer? 

As a first-time buyer, it is essential that you work with your solicitor to make sure you have all the latest, real-time data on what is happening in the market. They will help you to identify the best property types and locations for your budget. 

Independent mortgage advisors 

In the current climate, we are seeing lenders changing their criteria and products very quickly. Engaging with an independent mortgage adviser can help you keep on top of the dynamic world of mortgages and help you get the most competitive product for your circumstances.  

Whether you are looking for first-time buyer mortgage advice, are interested in finding out more about buy-to-let mortgages or would like to re-mortgage, get in touch with the team on 0131 253 2920 or fsenquiries@espc.com