High demand from buyers driving up selling prices

In Edinburgh, the average selling price rose by 7.8 per cent to £272,241.

As with last month, two-bedroom flats in Leith, the Shore and Granton saw the biggest increase in average selling prices within the capital, rising by 19.1 per cent to £204,242. Two-bedroom flats in the nearby areas of Bellevue, Hillside and Broughton also saw a significant increase, rising by 14.7 per cent to £283,262.

In Fife, properties in Dunfermline saw an increase of 15.8 per cent rising to £176,182 and average selling prices increased by 14.3 per cent to £183,188 in the wider West Fife and Kinross area. However, average selling prices in East Fife decreased by 10.4 per cent to £223,904.

This is due to a greater proportion of bigger houses sold in West Fife and Kinross compared to flats, while there has been an increased proportion of flats and a smaller proportion of larger houses sold in East Fife.

In West Lothian, there was also a significant increase of 13.6 per cent, taking the average selling price to £214,946 compared to last year. However, this increase is less pronounced than in the July and August House Price Reports.

From July to September 2018, the number of properties coming to market increased by 4 per cent annually. Although this is a slight dip compared to the August figure of 5 per cent, this continued trend is a positive sign for buyers as a lack of properties coming to market has been limiting the market in recent years.

The median time to sell in east central Scotland between July and September 2018 was 20 days, which is two days slower than the same period last year. In Edinburgh, this figure was 18 days which is two days slower than last year.

Two-bedroom flats in Portobello and Joppa were the quickest to sell, with a median selling time of 12 days, which is five days faster than last year. One-bedroom flats in Leith were the property type that sold the most during this period, followed closely by two-bedroom flats in Leith and three-bedroom houses in Dunfermline.

The number of properties sold during this period decreased by 6.7 per cent annually, but this is more of a reflection of fewer properties coming to market in recent years rather than of a lack of buyer demand.

ESPC’s Business Analyst Jamie Fraser-Davidson, said: “The increase in average selling prices in many areas of east central Scotland indicates that there continues to be strong demand from buyers, even as we get closer to Brexit. This can also be seen by the continued trend of a rising number of properties marketed as ‘offers over’ as well as an increased percentage of homes achieving or exceeding their Home Report valuation. It will be interesting to monitor if buyer confidence does fluctuate in future months as we approach the date the UK is scheduled to leave the UK.

“Recently dubbed one of the ‘coolest neighbourhoods in the world’ by Time Out magazine, it is evident that Leith’s popularity continues to soar, with significant increases in average selling prices. Plus, one and two-bedroom flats in the port district were the top selling property types during this period.”