20 Jun Property Market Update: June 2017
As we come to the end of June, we have a look at the local property market. Read on for more news.
Looking at the property market across Edinburgh and the Lothian’s, conditions continue to appear strongly in favour of sellers, with house prices rising and selling time accelerating. With continued high buyer demand and a relatively low supply of properties coming to market, this has meant that the strong sellers market witnessed throughout 2016 has gone from strength to strength.
The median selling time in east central Scotland is 22.2% faster when compared to the same three-month period a year ago – from 23 days down to 18 days. In Edinburgh, the median time to sell is down to 15 days.
Faster selling times and increased prices have created a strong market for sellers in east central Scotland, according to the latest ESPC analysis.
The average selling price in east central Scotland between March and May 2017 has increased by 3.3% to £221,522 when compared with the same period last year.
The number of homes sold in east central Scotland between this period decreased by 4.6% annually.
The number of new homes brought to market decreased by 6.7% annually and 86.1% of properties listed between March and May 2017 were marketed as ‘offers over’, compared with 77.1% in 2016.
For sellers, this is excellent news. The market is stronger for sellers than it has been for almost a decade, with low interest rates, rising market confidence and a comparatively strong economy all contributing to high buyer demand.
For buyers, the current market is slightly more challenging. Invariably people are facing high levels of competition from other buyers and will find that they are unsuccessful with offers on a number of properties before they are able to secure a new home. This can also cause issues as banks are usually only willing to lend up he the valuation figure in the Home Report.
With an increasing number of properties in Edinburgh are selling for over their home report valuation, it may potentially make it harder for first time buyers to get a foot on the property ladder.
With the number of new homes brought to market decreasing annually by 6.7%, it is imperative that we begin to see more properties coming onto the market in the coming months as it will help somewhat to balance out the excess of demand over supply which has been widespread over the past couple of years.
If you are thinking of buying or selling a home in Edinburgh, the Lothian’s or Fife, feel free to contact us on 0131 608 0175 or by emailing email@example.com and one of our team will be delighted to help.