United Kingdom Property News

Scottish property sales expected to rise

Scottish property sales are expected to rise over the next three months by the Royal Institution of Chartered Surveyors.

The amount of homes sold in the UK over the past three months reached its highest level since January 2010 as buyers began to return to the market, according to the latest RICS survey. In Scotland, that growth is predicted to keep on going, with a net balance of 36% more chartered surveyors predicting transaction levels will grow (from +12%). The longer term picture also looks positive, with 64% more respondents expecting sales to rise over the next 12 months.

A key driver behind this jump in activity is the recent upturn in buyers testing the market. Interest from would-be buyers in Scotland rose sharply during May, with 71% more chartered surveyors reporting rises rather than falls in new buyer enquiries.

Prices in Scotland also look set to turn the corner over the next 12 months, with 36% more surveyors predicting a rise in house prices over the period. Feedback from chartered surveyors suggests that prices will rise by between 1 and 1.5%.

Moving on to the rental market, tenant demand continued to rise during May, although the rate of growth has begun to slow in the last few months. Even so, the sustained demand in the rental market continues to underpin positive rental expectations.

“May was an interesting month for the housing market in Scotland,” comments Sarah Speirs, Director of RICS Scotland. “There has been a definite increase in activity, with an encouraging increase in new buyer enquiries and new instructions. There is still a very long way to go until we see a full scale recovery but green shoots are beginning to sprout.”