The Scottish housing market enjoyed a house price growth spurt in the opening months of 2020. The UK government recorded a 3.2% increase in Scottish house prices in the first quarter compared to a year earlier. Flats followed close behind with a 2.9% annual price growth.
When the pandemic forced the UK into lockdown in March 2020 it brought the housing market to a halt during the traditionally busy spring period. As restrictions eased up in June 2020, the Scottish housing sector bounced back quickly and the property market boom has continued to increase with each passing month.
From August to October 2020, ESPC noted a 44.4% year-on-year increase in new listings in Edinburgh, the Lothians, Fife and the Borders. Edinburgh alone saw a 141% increase in offers in the first two weeks of August, and the number of new prospective buyers and viewings rose 165% and 42% respectively.
Average House Prices in Edinburgh
Post-lockdown, Edinburgh house prices saw an overall increase of 6.2% compared to 2019, with three bedroom houses in Liberton and Gilmerton seeing an increase of 18.5% in average property selling price.
Average house prices in Edinburgh have also increased by 1.83% since September 2020, to £303,000 in December 2020.
Edinburgh Property Market Predictions: What to Expect in 2021
- Edinburgh house prices are set to rise by 23.4% between now and 2021. Both rental and house prices are forecast to overtake the national average.
- At the same time, the average household income is predicted to drop which will make it harder for first-time buyers to get on the property ladder.
- Buyer behaviour will change because Covid-19 changed people’s priorities.
- The average percentage of Home Report valuation achieved in Edinburgh has increased with Leith recording the highest number at 109.4%.
- Buyers are more eager to close a deal and properties take an average of 18 days to sell in Edinburgh (compared to 21 days last year).
Don’t Miss the Scottish Government’s Land and Buildings Transaction Tax (LBTT) Holiday!
From July 15th 2020 until March 31st 2021, the Scottish Government introduced an LBTT property tax holiday in a bid to boost the Scottish housing market with COVID-19 disrupting everyday life.
The LBTT holiday has the potential to save property buyers money, but the amount will vary depending on the price of the property. Discover more about the LBTT holiday in our recent guide to find out why you won’t want to miss this opportunity!
Get a Home Report from Home Report Company
Buying and selling a property is tricky enough at the best of times, never mind during a global pandemic. Getting a Home Report early will help you prepare and reassure your potential buyers. Read our guide to learn more about Home Reports and what documents are included.
If you have any questions about buying or selling property or would like to ask us for more information give us a call 0131 608 0175 or email enquiries@homereportcompany.co.uk.
