High demand drives up Edinburgh property prices

Two-bedroom flats in Leith, the Shore and Granton recorded the biggest price rises in east central Scotland in the last quarter.

These Edinburgh properties sold for an average of £204,242 in the July-September period - more than £30,000 ahead of the same three months in 2017.

This 19.1% increase put it well ahead of other locations in east central Scotland, with two-bedroom flats in Bellevue, Hillside and Broughton coming in second in the price-rise table at 14.7%. The typical property of this type in these areas was fetching £283,262 in the last quarter.

The latest house-price report from ESPC says that, between July and September, average selling prices in east central Scotland rose by 6.2% to £250,991 compared to the same period last year. 

In Edinburgh, the typical price was ahead by 7.8% to £272,241. 

In Fife, properties in Dunfermline recorded an increase of 15.8% - rising to £176,182 - and average selling prices jumped by 14.3% to £183,188 in the wider West Fife and Kinross area. 

ESPC also says that, in West Lothian, there was also a significant increase of 13.6%, taking the average selling price to £214,946 compared to last year. 

From July to September, the number of properties coming to market in east central Scotland increased by 4% annually.

ESPC says this 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 was 20 days - two days slower than the same period last year. 

In Edinburgh, this figure was 18 days, which is two days more than in 2017.

Faster selling time

Two-bedroom flats in Portobello and Joppa were the quickest to sell, with a median selling time of 12 days - 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 latest quarter decreased by 6.7% annually, but ESPC says this is more of a reflection of fewer homes coming to market in recent years rather than of a lack of buyer demand.

Strong demand

ESPC 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 EU.

“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."