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Report reveals 32% annual rise in houses sold in Scotland

From Property Talk Live on July 10, 2014

Latest figures from ESPC show that sales between April and June this year increased by 32% compared to the same period last year.

The figures prove the East Central Scotland housing market has remained brisk during the second quarter of the year. Activity among sellers is also increasing with the number of homes coming onto the market up by 10% on an annual basis.
The sharpest increase in sales has been seen in the market for smaller properties. Over the last three months the number of one bedroom homes sold has jumped by more than 50% annually, with rising activity among first time buyers and buy to let investors spurring growth.

The rise in buyer activity has made market conditions more favourable for sellers and this is reflected in the selling prices properties are achieving relative to their Home Report valuation. In the three months to June, 58% of homes sold across Edinburgh, the Lothians and Fife achieved a selling price that was equal to or in excess of their original Home Report valuation. That marked an increase from 35% of those sold during the same period last year.

In most areas of East Central Scotland house prices are higher than was the case at this stage last year. In Edinburgh an annual increase of 3.9% brought the average house price in the area to £223,924. Although sharper increases were observed in some areas, these generally offset decreases during the same period last year. For example the 9.4% rise in East Lothian came on the back of a 13.4% decline during the same period last year meaning that prices in the area are still below 2012 levels.

Commenting on the results David Marshall, Business Development Manager with ESPC said:

“The improvement in market activity in 2013 has continued into 2014 with a notable rise in the number of homes being bought and sold. Conditions are more favourable for sellers, with more homes achieving Home Report.

“We’ve also seen a continued rise in the popularity of the “Offers Over” approach to selling a home, with roughly two-thirds of homes coming onto the market being advertised in this way.

“While the market has improved it’s worth putting the growth we’ve seen in perspective. The number of sales we’re seeing is still around 25% lower than at the peak of the market and the rate of house price inflation in most areas is moderate, especially when compared to the rapid rises being observed in some areas south of the border.”

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Source: Property Talk Live