The Elite Ayrshire Business Circle

The Elite Ayrshire Business Circle

Tuesday, 8 March 2011

Scots house buyers up but prices dip

RICS February 2011 UK Housing Market Survey

The number of homes sold in Scotland last month increased and the number of potential buyers enquiring about property for sale rose sharply for the second month running, which showed there was more activity in the Scottish housing market. And chartered surveyors in Scotland expect sales to continue strongly in the next three months says the latest RICS Housing Market Survey.

However, to attract these buyers, sellers have had to price their properties realistically and as a result, house prices dipped slightly last month and chartered surveyors do not expect them to increase in March.

The number of homes coming on to the market for sale in Scotland also increased in February, which suggests sellers are accepting the need to price their homes realistically. It could also mean sellers have some confidence in the market despite the need for large deposits from lenders and the threat of rising interest rates.

Scotland was one of just three areas of the UK which saw a rise in demand for property in February. London and the North East of England also saw more interest. The property picture in Wales and Northern Ireland is very different with surveyors reporting a lack of buyer confidence affecting the market.

Commenting, RICS Scotland director Graeme Hartley (pictured above) said: “Scotland’s property market is once again showing different results to the rest of the UK. Scots seem to have more confidence in the market, despite the need for large deposits and a possible interest rate rise. There are more properties coming on to the market and realistic asking prices are attracting potential buyers. Surveyors expect this to continue into spring.”

RICS housing market survey is the longest running monthly survey of house prices in the UK, collecting data since January 1978. The survey is cited by the Bank of England's monetary policy committee at its monthly interest rate setting meetings.

About RICS Scotland

RICS Scotland is a national association of RICS. RICS Scotland has over 11,000 members. Managed from its offices in Edinburgh the focus of RICS Scotland is to develop, maintain, uphold and promote the standards, knowledge and skills of its members always acting in the public interest.

RICS Scotland enjoys a degree of autonomy due to differences in Scottish Law and practice. It holds a significant role within the professional and business community in Scotland, working with central and local government and educational institutions in Scotland.

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