House prices in Aberdeen fell by 3.5% in first quarter of 2020

In the first quarter of 2020, there was a 3.5% decrease in house prices in Aberdeen city and its suburbs, according to the latest research from ASPC.

The statistics, published in cooperation with Aberdeen University’s Business School, found that the annual house price change in Aberdeen city and suburbs was down by 3%, with the annualised price change in the area over five years dropping by 5.4%.

Commenting on these figures, John MacRae, chairman of the board of directors of ASPC, said: “The report released by the Centre for Real Estate Research at the University of Aberdeen Business School, for the first quarter of 2020, based on data supplied by ASPC continues to show a depressed market in our area.

“The first quarter 0f 2020 had led many of our member firms to feel that there were indications of a small increase in sales activity. There were hopes that having had Brexit reduced, to some extent, in the public consciousness and a Government with a workable majority, confidence would grow, and folks would feel more confident in the future.

“Alas, that feeling was misconceived, and events have, once again, confounded our expectations. I will not dwell on the current pandemic, except to express the hope that everyone will come through, with as little loss as possible.”

Mr MacRae added that on top of the outbreak of the coronavirus, an unwelcome consequence of this has been a further deterioration in oil prices, which as added to the uncertainties affecting Aberdeen. 

He continued: “Because of the lockdown, residential sales have dropped, virtually, to zero and matters now become a question of endurance. It is very much the case that everyone will feel the effects of the current difficulties.”

Looking ahead, Mr MacRae said: “Is there any good news? Well, there is some. Website traffic has reduced, somewhat, but active MyASPC account registrations are holding up and the number of automated emails sent out to users remains at a good level.

“Additionally, we are receiving, through the “contact us” button on the website, significant numbers of requests for viewings, once lockdown is reduced or done away with. What this demonstrates is that there is pent up demand and interest.

“People are continuing to look at properties on our website and I expect that when the restraints are removed, we may well see a rapid return to activity in our housing market. Those with houses to sell, and those looking to buy can be reassured that ASPC continues to provide the best medium for bringing the two groups together in this area.”

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