The Scottish lettings and estate agency said that the latest data from the monthly house price index published today shows that between July 2023 and June 2024 average house prices in Scotland increased from £187,122 to £192,488. In England and Wales average house prices rose by £4,707 over the same period.

Across Scotland there were substantial variations in price rises (please see table below) with Midlothian recording the highest increase of £17,724; Edinburgh rising by £14,315; Stirling up £13,927; West Lothian higher by £11,276; and North Lanarkshire up by £10,506.

There were four areas which experienced falls in value last year with the largest in Perth and Kinross where average prices dropped by £4,334; Argyll and Bute down £3,862; Aberdeen fell £1,794; while Dumfries and Galloway dropped by £602.

David Alexander, CEO of DJ Alexander Scotland, said: “The Scottish housing market continues to be remarkably resilient.

“An increase of £5,368 equates to a 2.9% rise over the year at a time when interest rates remain high and there remains continued concern over the performance of the economy. In England and Wales the percentage increase is almost half that figure at 1.6%.

“Other data shows that sales volumes in Scotland between May 2023 and April 2024 (the latest period for which there are statistics) are almost static starting at7,671 and ending the year with a fall of just 25 to reach 7,646. Whereas in England and Wales sales volumes have plummeted dropping 22,120 from 45,476 to 23,356.”

He continued: “Even more astonishing is the fact that while almost every part of Scotland recorded an increase in average prices six areas had rises of over £10,000 during the twelve-month period.

“Our major cities and their surrounding areas continue to be popular with high demand resulting in rising prices. People are still drawn to live and work in or near our Edinburgh, Glasgow and the central belt in general. The price fallers are once again in rural areas such as Argyll and Bute, Dumfries and Galloway and Perth and Kinross with Aberdeen the notable exception due to its high backlog of properties for sale.”

Mr Alexander concluded: “Despite the naysayers and the doom mongers the Scottish market continues to be strong and outperform the rest of the UK.

“With interest rates likely to fall in the coming months, employment remaining high, and the anticipation of higher economic growth I believe these increases in Scottish house prices are likely to continue in the coming year.”