Property in Edinburgh: House prices rise but sales fall in Edinburgh and Lothians, says ESPC report
Demand for properties in Edinburgh and the Lothians remains stable despite recent political and financial uncertainties, according to the ESPC’s October house price report.
From August to October 2022, the average selling price of properties in Edinburgh, Lothians, Fife and the Borders rose 9.3% year-on-year to £298,771. Sales volume fell 4.3% annually during this period, while new housing listings increased 0.5%.
The period from August to October 2022 includes 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% in early 2022), and rising energy bills. However, the latest CWSF data highlights strong interest in buying a home with fast selling times and high Home Report valuation levels.
Edinburgh itself has seen average house selling prices rise by 9.5% a year to £316,152. After a period of strong demand for properties over the past year, one and two bedroom apartments continued to be particularly popular with buyers in the capital.
“We are seeing continued interest in real estate”
Paul Hilton, CEO of ESPC, said: “The last three months have shown strong competition from buyers and sellers. While the impact of recent economic changes on the housing market is uncertain, we believe in a common sense approach and understand the long term value of home ownership as housing market dynamics change again.
“We are seeing continued interest in property across our regions, with notable interest in suburban and rural areas popular with young families and professionals, while Edinburgh city center remains a desirable place to live, buyers paying far more than Home Report value to secure their dream home.”
Many areas popular for first-time buyers in Edinburgh have seen their average sale prices rise, notably in Abbeyhill and Meadowbank where one-bedroom apartments had an average sale price of £189,890 over the past three months, a 17% annual increase. One-bed apartments in Leith Walk, Easter Road, Pilrig and Bonnington saw a more modest annual increase of 4.9 per cent, taking the average selling price here to £179,921.
Single-family homes have continued to be popular in Edinburgh, with a recent 21.3% increase in sales prices for three-bed homes in Blackhall, Davidson’s Mains and Silverknowes. However, the average selling price for three-bedroom homes in Currie, Balerno and Juniper Green is down 2.4% from the same period last year. This shows that the market here now seems to be stabilizing.
Edinburgh continued to be a great place to live, with the area seeing the biggest percentage change in the Home Report assessment with a 1.7% increase taking the new average to 107.4%. And homes sold fastest in the northwest of the city with a median selling time of 13 days.
Mr Hilton added: “It is important that potential buyers of properties in Edinburgh, Lothians, Fife or the Borders review their initial budgets. Expert advice from your ESPC realtor on property types and the long-term value of homeownership coupled with monthly affordability is essential.