May Property Market Update 2024

Property Market Highlights

  • Average Property Prices Rose 1.5% Year-on-Year, Hitting £269,963
  • Property Sales Stayed Steady with a Minimal Decline of Only 0.1% Year-on-Year
  • February to April Saw a 19.4% Increase in New Properties Coming to Market
  • Buyers Paid an Average of 101.6% over the Home Report Valuation at Sale

Average Property Prices Rose 1.5% Year-on-Year, hitting £269,963

Properties across Scotland’s key local markets enjoyed an increase in their annual average selling prices between February and April 2024. According to the latest data published by ESPC, homes in Edinburgh, the Lothians, Fife and the Borders sold for an average of £269,963 – a 1.5% boost compared to the same period last year.

Edinburgh emerged as the priciest spot to buy a home, boasting an average selling price of £285,585 and a 1.8% year-on-year increase. Meanwhile, the Borders stood out as the most budget-friendly location for buyers, with property prices averaging £207,593 (a slight dip of 1.8% from 2023). 

Zooming in on local neighbourhoods now, we see that the well-sought-after suburb of Fairmilehead in the nation’s capital was the most expensive neighbourhood to buy in Scotland, with average properties tipping £471,549. On the other end of the scale, the Borders town of Galashiels was revealed to be Scotland’s cheapest place to buy, with properties selling for £134,223 on average – making it the go-to for bargain hunters.

As for which types of properties lured in prospective buyers, we see that two-bedroom flats in Edinburgh’s Leith, The Shore and Granton areas have become hot commodities, witnessing a robust 9.8% annual price surge – settling at £248,337. Additionally, three-bedroom houses in family-centric suburbs like Liberton and Gilmerton experienced a substantial 24% spike, reaching £325,984.

The most economical property type on offer was two-bedroom flats in Dunfermline, which sold for an average of £114,037. Interestingly, however, Dunfermline saw a noteworthy price hike, enjoying averages of £200,455, representing a 6.6% increase from the previous year.

Property Sales Stayed Steady with a Minimal Decline of Only 0.1% Year-on-Year

Property sales volumes across Edinburgh, the Lothians, Fife and the Borders remained steady from February to April 2024 – experiencing only a marginal decline of 0.1% compared to the same period last year. 

Data from ESPC reveals a notable swell in properties coming to the market, indicating a robust market with increasing choice for buyers. The increase of supply to the market has had the effect of slightly increasing the amount of time that properties are on the market before selling. We are also seeing less Closing Dates being set on properties that our Purchasing Team is offering-on for our buying clients.

What Are We Seeing?

Our Property Sales Team booked 406 viewings in April 2024. Whilst this represents quite a significant decrease from the 546 viewings booked in the same month last year, it does not seem to have affected sales volumes. Indeed, quite the opposite! We agreed 56 sales for our clients in April 2024, up from 50 in April 2023. Although reports from the wider market are that Closing Dates are reducing due to increased choice of properties for buyers, our own figures went against that trend. We set 11 Closing Dates in April 2024, a significant increase on the 6 that were set in April 2023.

February to April Saw a 19.4% Increase in New Properties Coming to Market

There was a remarkable boost in the number of properties coming to market between February and April 2024, with an increase of 19.4% compared to the previous year. This surge is great for buyers, providing them with a wide array of choices and alleviating the pressure for intense bidding or rushed decisions to secure a property. Sellers, particularly those eyeing onward purchases, can also reap the benefits of this trend.

Dunfermline led the pack in new properties coming to the market, boasting a 15.8% increase in volumes compared to the previous year. Following closely, Leith witnessed a notable rise of 37.1% annually, while Corstorphine secured the third position with a 25.2% growth in insertions compared to the same period in 2023.

Moreover, an encouraging 84.6% of properties listed came with an ‘offers over’ tag, marking a 5.3% increase from last year. This uptick underscores sellers’ confidence, even in a competitive market, hinting at favourable conditions for buyers and sellers alike.

Buyers Paid an Average of 101.6% over the Home Report Valuation at Sale

As ESPC reports, buyers are now securing a purchase price that is closer to the Home Report Valuation. This trend, consistent over recent months, saw buyers paying an average of 101.6% for their dream home, marking a slight decrease of 1.1 percentage points compared to the same period in 2023. 

Across Edinburgh, the Lothians, Fife and the Borders, the premium that buyers were willing to offer above the Home Report Valuation decreased. Edinburgh emerged on top, with properties selling for an average of 102% (a 0.8% decrease year-on-year). However, within the capital, trends varied significantly, with homes in Edinburgh City Centre fetching 99.9% on average (down by 1.7 percentage points from last year), while in the West of Edinburgh, buyers bid on average 108.1% (marking a notable increase of 5.7 percentage points year-on-year).

These nuances were also mirrored in the broader data, which indicated that 69.1% of homes listed during February to April 2024 sold for at least their Home Report valuation at sale, a slight decrease from the 77% observed in the same period of 2023. Diving into our own data, the MOV8 team discovered that in April 2024, homes were still fetching an impressive 101.64% of their Home Report Valuation on average. While this shows a slight dip from the previous year’s 102.77% in April 2023, it’s important to note that properties are still performing remarkably well in the market.

We are seeing a more balanced market than in recent years. Run-away house prices and properties selling on average for 8% more than a chartered surveyor believes the property to be worth are in the rear-view mirror. Buyers have more choice as stock levels on the market increase. Nevertheless, sellers are still achieving sales within quick timescales compared with years gone by. This balance increases the likelihood of a property seller being able to secure an onward purchase, which will bring more sellers back to the market. Overall, this is a healthier position than we have seen in recent years, particularly since the Covid pandemic.

I would recommend that sellers embrace the positivity of an active market, with demand driving sales, potentially competitive offers and a quick turnaround.

Thinking of Selling Your Property?

If you’re thinking of selling your property, our team of experts is here to help you get the best possible price in the quickest possible time. With decades of experience under our belt, we’ve seen all possible market conditions over the years and are perfectly placed to help you navigate the current property landscape. Get in touch today!

Fill in our free online home valuation form here

Call us on 0345 646 0208 (Option 1)

or email [email protected] to organise a free valuation of your home or to get a full, transparent breakdown of the costs of selling your home.

Thinking of Buying?

Our specialist Purchasing Team helps thousands of buyers every year to get the best deal on their next dream home, while our friendly and expert lawyers will guide you step-by-step through the Scottish buying process until you have the keys in your hand.

Get a quote for buying online here

Call us on 0345 646 0208 (Option 2)

or email [email protected], and we’ll be delighted to help.


Leave a Reply

Your email address will not be published. Required fields are marked *