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Monthly House Price Index statistics for August 2018 published

Posted: 17th October 2018

The latest publication of the monthly UK HPI shows that the average price of a property in Scotland in August 2018 was £153,309 – an increase of 4.1 per cent on August in the previous year and an increase of 0.3 per cent when compared to the previous month. This compares to a UK average of £232,797, which was an increase of 3.2 per cent on August in the previous year and an increase of 0.2 per cent when compared to the previous month.

The volume of residential sales in Scotland in June 2018 was 10,419 – a decrease of 4.3 per cent on June 2017. This compares with annual decreases in sales volumes of 24.5 per cent in England and 20.0 per cent in Wales in June 2018, and 13.0 per cent in Northern Ireland in Quarter 2 – 2018.

Registers of Scotland Business Development and Information Director Kenny Crawford said: “Average prices in Scotland continued their upward trend in June with an increase of 4.1 per cent when compared to August 2017. Average prices have been increasing each month since March 2016, when compared with the same month of the previous year.

“Residential sales volumes decreased in June. The annual decrease of 4.3 per cent when compared with June 2017 in Scotland is in the context of much larger decreases across the rest of the UK. The cumulative volume of sales for Scotland for the financial year to date – from April 2018 to June 2018 – was 25,905. This is an increase of 6.0 per cent on the equivalent year to date position in the previous financial year 2017/18.”

Average price increases were recorded in the vast majority (28) of local authorities in August 2018, when comparing prices with the previous year. The biggest price increases were in West Dunbartonshire, Inverclyde and City of Glasgow, where average prices increased by 11.9 per cent to £110,867, 9.8 per cent to £112,550 and 8.9 per cent to £136,353 respectively. The decreases were recorded in City of Aberdeen, Aberdeenshire, Scottish Borders and East Ayrshire, where average prices fell by 4.0 per cent to £161,063, 2.5 per cent to £188,426, 2.5 per cent to £152,576 and 1.7 per cent to £97,696 respectively.

Increases in sales volumes were recorded in 11 local authorities in June 2018, when comparing volumes with the previous year. The biggest increases were in Inverclyde, and Renfrewshire, where volumes increased by 27.0 per cent to 160 sales and 12.1 per cent to 472 sales respectively. The biggest decreases were in Moray and Argyll and Bute, where volumes fell by 24.7 per cent to 122 sales and 22.9 per cent to 155 sales respectively.

Across Scotland, all property types showed an increase in average price in August 2018 when compared with the same month in the previous year. Semi-detached properties showed the biggest increase, rising by 6.0 per cent to £160,535. The average price of detached properties rose by 3.2 per cent to £262,175, the smallest increase of all property types.

The average price in August 2018 for a property purchased by a first time buyer was £124,223 – an increase of 4.3 per cent compared to the same month in the previous year. The average price for a property purchased by a former owner occupier was £183,257 – an increase of 3.9 per cent on the previous year.

The average price for a cash sale was £141,237 – an increase of 3.5 per cent on the previous year – while the average price for property purchased with a mortgage was £158,920 – an increase of 4.4 per cent on the previous year.

Business Comment

Business Comment is the Edinburgh Chamber of Commerce’s bi-monthly magazine. It provides insight on Edinburgh’s vibrant business community, with features on the city’s key sectors, interviews with leading figures and news on new business developments in the capital.
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