Fewer properties come to market in Edinburgh as Brexit uncertainty continues

Fewer properties come to market in Edinburgh as Brexit uncertainty continues

Over the past three months, average selling prices across Edinburgh, the Lothians, Fife and the Borders rose by 2.5 per cent to £253,552.

In Edinburgh, the average selling price is now £274,690 which is a 2.5 per cent increase compared to last year. Within the capital, the greatest house price growth can be seen in the north west of the city, with average selling prices rising by 16.7 per cent to £288,963.

The property type which experienced the greatest growth in average prices is three bedroom houses in South Queensferry and Dalmeny, rising by 33.9 per cent year-on-year to £299,864. This significant uplift is mainly due to a reduced number of terraced home sales, and a greater proportion of detached and semi-detached houses selling in recent months.

East Fife properties saw a significant increase in average property price, rising by 12.5 per cent to £248,772 while properties in East Lothian saw a 6.3 per cent increase. The average property price in Dunfermline and the West Fife and Kinross area decreased compared to last year, falling by 8.3 per cent and 6.1 per cent respectively.

The average property prices in West Lothian and Midlothian rose by 4.5 per cent and 3.9 per cent respectively, while the average price of properties in the Borders decreased by 5.6 per cent.

Over the last three months in Edinburgh, the Lothians, Fife and the Borders, the sales volume increased by 2.8 per cent annually. In Edinburgh, sales volume remained reasonably steady, decreasing by 0.1 per cent year-on-year. The volume of properties coming to market decreased by 2.9 per cent across all areas, with a more pronounced decrease in Edinburgh of 7.5 per cent.

The median time to sell across all areas was 21 days, which was the same as last year. In Edinburgh, the median time to sell was 19 days, which was also the same as last year. The fastest selling property type was one bedroom flats in Leith Walk, Easter Road, Pilrig and Bonnington which boasted a median selling time of 12 days.

Jamie Fraser-Davidson, business analyst at ESPC, said: “From August to October 2019, there has been a marked year-on-year decrease in the number of properties coming to market in Edinburgh. It could be that seller confidence waned slightly in the run up to the 31st October Brexit deadline. As this has now been delayed until January, and a General Election has been announced, we may possibly see more impacts on buyer and seller confidence in the coming months.

“However, an additional factor could also be related to the order in which people choose to buy and sell property. We are hearing increasing reports of people choosing to buy subject to sale, which has not been the norm in Scotland in recent years. Therefore, if people don’t find the right property, they won’t put their home on the market, affecting the supply of new properties.

“Across Edinburgh, the Lothians, Fife and the Borders, average selling prices continue to rise, but the rate of growth is still slower than we have seen previously. Meanwhile, the percentage of Home Report valuation achieved continues to decrease. This suggests more favourable conditions for buyers, which is positive. However, short selling times and a high percentage of Home Report valuation achieved indicate there remains relatively strong demand for first time buyer homes in the city.”

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