The average selling price of property across Edinburgh, the Lothians, Fife, and the Borders increased quite significantly during the final quarter of last year, despite the wider slowdown in the UK housing market, new figures show.
According to ESPC, the average price of a home across these regions increased by 6.8% year-on-year to £291,023 as the supply-demand imbalance continued to place upward pressure on property prices.
The data also reveals that sales volumes dropped 13.7% annually during this period, while new property listings decreased by 4.3%. While this is recorded as a year-on-year decline, it does in fact take us to the same new property listing volumes recorded in the same period in 2019, indicating that this is more likely a return to the norms witnessed before the post-pandemic market increases.
There was a significant rise in new property listings in Bonnyrigg in Midlothian and South Queensferry (an increase of 59.3% and 81% year-on-year respectively).
The median selling time of property was 18 days, highlighting that buyers were acting quickly to secure their next home.
On average, 87.7% of properties sold for their Home Report valuation or higher, with the average property achieving 105.9% of Home Report valuation at sale. Some 28.2% of properties went to a closing date.
Dunfermline and East Fife recorded some of the highest price increases over the last three months. The average selling price for homes in Dunfermline was £228,514, an increase of 14.8% annually, while property in East Fife had an average selling price of £301,326, up 14.1% year-on-year.
Edinburgh saw average property selling prices rise 5.6% annually to £306,013. Following high demand for properties in the past year, two-bedroom flats were popular with Edinburgh buyers.
Many areas popular with families saw rises in average selling prices, with three-bed houses in Blackhall, Davidsons Mains and Silverknowes increasing by 12% to £492,781 and three-bedroom houses in South Queensferry and Dalmeny increasing by 21.4% to £324,128.
Areas in the capital that are in demand with first-time buyers also saw rises in average selling prices. The average selling price of one-bedroom flats in Abbeyhill and Meadowbank increased by 10.7% to £185,763.
The average selling price of two-bed flats in Portobello and Joppa continued to be popular, increasing by 14.1% to £302,970.
Paul Hilton, CEO of ESPC, commented: “The period of October-December 2022 has brought significant changes politically and in the financial markets.
“In 2023, we will see the full effects of these changes but the property market in Edinburgh, the Lothians, Fife and the Borders remains robust and competitive with buyers currently continuing to pay significantly over Home Report value to secure their dream home.
“We are seeing noticeable demand for areas in Edinburgh that are popular with a range of buyers. Abbeyhill and Meadowbank have seen considerable demand from first-time buyers while South Queensferry and Dalmeny are popular with those looking for family homes.
“There has also been interest in suburbs like Corstorphine which are popular with families, and rural locations like the Scottish Borders – continuing the 2022 trend of buyers moving to areas outside Edinburgh with good transport links to the captial.”
