Walker Fraser Steel – Mortgage Strategy
Average house prices in Scotland lifted by 7% to a fresh record of £225,520 in December compared to a year ago, according to the latest Walker Fraser Steele Acadata house price index.
However, the report shows that price rises in the nation are easing. Last month, home prices lifted by just £63, or 0%, following a hike of some £1,100, or 0.5%, in November.
Although on a regional basis, house values rose in 29 out of 31 local authorities over the year, seeing East Renfrewshire as the mainland authority with the highest growth at 17.7% to £325,332.
Edinburgh was one of six areas where values increased by 10% or more over the last 12 months, while Aberdeen City posted the greatest fall of 5.4% to £183,697.
Monthly record average house prices in Scotland were broken ten times in 2022.
The report points out that since the start of the pandemic in March 2020 — when the average house price in Scotland was £183,853 — there has been an increase of some £41,700, or 22.7%, to the end of last month.
Regional Development Director at Walker Fraser Steele Scott Jack says: “If we step back for a moment and look at 2022 overall, it has been a record year for housing transactions in Scotland – all the more significant if we consider the performance of house prices over the last couple of years which have seemingly inexorably climbed.”
But Acadata senior housing analyst John Tindale adds: “Looking at the first six months of the monthly rates of change in house prices, the total amounts to 5.3%, which contrasts with the 1.5% increase in monthly rates during the second half of 2022.
“This is a clear demonstration of the cooling in the housing market that has taken place over the last six months.”