Strongest Scottish house price growth for seven months
- Property price rises accelerate in December, showing the fastest year-on-year increase since May
- Average home values bounce back from summer slip to reach £170k, after 2.5% rise across 2015
- But Aberdeen sees steepest house price drop over 2015 (-6.8%), as demand dips due to falling oil price
- Top of the market recovering, with 11 million pound homes typically sold each month by end of 2015
- Scottish home sales surge with best December figures for 8 years, up 21% on the same month in 2014
Christine Campbell, Your Move managing director in Scotland, comments: “The Scottish housing market finished the roller coaster year on a high, with average house prices growing 2.5% over the course of 2015. This is the fastest year-on year rise in property prices seen for seven months and the £4,000 jump in the value of a typical property is a well-deserved reward for Scottish homeowners after a volatile year. But the increase over the year to December is still below the 4.4% rise in 2014, as growth was skewed by the introduction of the Land and Buildings Transaction Tax (LBTT). December saw house prices rise 0.8% (£1,309) from the previous month – a rate of growth which hasn’t been beaten since March. The average house price has now broken through the £170,000 barrier again for the first time since May, as the market sets course in the right direction.
“2015 was a turbulent ride for some parts of Scotland. Aberdeen City experienced the biggest dip in house prices on the mainland last year, with property values in the area falling 6.8% (£15,551). This decline has been driven by the drop in demand for homes in the area, as the tumbling oil price reduces employment and investment into the city. Aberdeen has also felt the negative affect of the introduction of the LBTT, as it’s home to a large number of higher value properties which the tax hit hardest. The city has now slipped to sixth in the house price rankings, down from third at the end of 2014.