The average percent of Home Report valuation attained was 4.2 percentage points lower than last year, recorded at 102.6 per cent. The median time for properties to go under offer was 21 days, five days slower than the same time last year.

21.4 per cent of property sales went to a closing date.

Sales volumes declined 11.8 per cent annually, while new property listings increased by 3.1 per cent compared to September-November 2022.

Average selling prices cooled overall as surge of smaller properties joined the market.

The drop in the average selling price was set against a backdrop of 11.8 per cent fewer property sales and brings the average selling price closer to the figures seen in 2021, following an extensive period of high selling prices.

Lower average selling prices were most noticeable across East Lothian and the Scottish Borders, where average prices were 17.1 per cent and 16.7 per cent lower respectively.

In East Lothian, there was a decline in the number of houses selling, and a rise in the number of flats being snapped up, with a sharp increase in the number of properties priced within the LBTT Band One bracket of £145,000-£250,000. This trend was mirrored in the Borders, with more homes in the region selling within the lower LBTT bands.

According to ESPC, the impact on average selling prices is more due to the types of properties selling, rather than substantial price drops across the board.

There was positive news for homeowners in Midlothian and East Fife; these areas recorded slight increases in average selling prices, up 1.3 per cent and one per cent respectively, compared to September-November 2022.

Paul Hilton, CEO of ESPC, said: “The three months to November 2023 present a very mixed bag for the local property market, with much variation in the figures across Edinburgh, the Lothians, Fife and the Borders, but we can see how this boils down to demand for certain property types, and the buyers that are currently in the market.

“Average selling prices have declined, which may mean good news for buyers but can be alarming for homeowners. Therefore, it’s important to look at the context of this reduction, with one reason being an influx of smaller properties coming to the market, which skews the average figures – so we want to reassure homeowners that there hasn’t been a dramatic drop in the value of property overall.

“There is much to be positive about for first-time buyers, with lower prices in certain regions, fewer closing dates reducing the expectation of bidding a high premium to secure a property, and slightly slower selling times allowing for more considered decision-making, as well as more options on the market to choose from.

“It currently appears to be a no-nonsense market, with buyers keen to make the ‘right’ choice and sellers looking for a smooth, swift sales process across the board.”