Estate and lettings agency DJ Alexander Ltd reported that average prices were at £194,156 in August which is the latest month for which there is official data. Scotland is the outlier in this as the other countries of the UK have seen prices static or falling in the last year.

Many locations within Scotland have achieved a record high with East Lothian now recording an average monthly price of £336,885; Edinburgh is at £335,815; West Lothian is £215,260; Moray is on £198,486; Fife is at £182,221; Glasgow has reached £178,530; and North Lanarkshire at £139,569.

Other parts of the country have seen some average price decline but not on the scale witnessed south of the Border. The Scottish property market has remained remarkably resilient despite interest rate rises, the cost-of-living crisis, sky high inflation and the threat of recession.

David Alexander, chief executive of DJ Alexander Ltd, commented: “Scotland’s property market has really ridden out the financial storm barely dipping in price in some parts of the country while in others striding ahead.”

“Given that all of the other countries of the UK have fairly static or declining average prices it is remarkable that Scotland’s homebuyers continue to remain so confident about the housing market. The rises are by no means great, but they are still positive which few in the sector would have predicted 12 months ago.”

Mr Alexander continued: “The reality is that although inflation has been high, and there have been cost-of-living issues with rising electricity and gas charges, and interest rate rises which may be problematic for some, are simply a correction on decades of long suppressed rates which should have risen at an earlier stage. The reality is that interest rates remain below historic levels.”

“Unemployment is still remarkably low, and it has always been a key factor in having a depressive impact on house prices. Given that many people who are in work will have received substantial pay increases over the last year which will now be filtering through into their pockets they may find that affordability is less of an issue than initially anticipated.”

He added: “Of course, these factors exist across the UK so don’t explain some of the anomalous rises that have occurred in certain parts of Scotland. Both Glasgow and North Lanarkshire have reached a record high in average prices but both at a much lower level than Edinburgh and the surrounding areas.

“There is undoubtedly a major shift as Edinburgh continues to be something of a boom town producing a pricing impact on the surrounding areas. East Lothian, West Lothian, and Fife have all experienced their highest ever average price which is because of their proximity to the capital.”

Mr Alexander concluded: “Edinburgh has become its own unique market with enormous numbers of people wanting to live in the capital or adjacent to the city. Hence this enormous price increase in recent years in the areas surrounding Edinburgh.

“This is unlikely to change and is replicated in the huge demands which are currently experienced in the capital’s private rented sector.

“A combination of buyers from within Edinburgh, across Scotland, throughout the UK, coupled with major international property seekers and investors make future price increases inevitable. This is a separate market from the rest of Scotland and prices are clearly now racing away from other cities and areas in the country.”