Residential market

House prices still rising, but at a slower rate

Homes for sale boards
House prices are expected to fall, though buyers are beginning to emerge

House prices in Scotland continued to rise through the last quarter of 2022, but at the slowest rate since mid-2020 according to the latest RICS UK Residential Survey.

Fewer respondents to the December survey reported that prices had increased over the last three months but while prices are expected to fall the outlook in Scotland is less pessimistic than in other parts of the UK.

New buyer enquiries in Scotland fell for the eighth consecutive month and new instructions to sell also continued to decline.

Meanwhile, 41% of respondents noted that sellers were attempting to attach a price premium on homes with a high energy efficiency rating. 

By the same token, 61% of contributors stated that highly energy efficient homes were holding their value in the current market.

Ian Morton of Bradburne & Co in St Andrews said: “Early indications show sellers coming to the market in January and that is a positive sign.”

Commenting on the UK picture, Simon Rubinsohn, chief economist at RICS, said: “Some signs of an easing in inflation pressures more generally could provide a chink of light particularly for those looking to take their first step on the property ladder.”

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