Lack of homes to maintain Scottish house price hikes

homes for saleThe sustained shortage of stock on the market has caused house prices in Scotland to continue to rise with further increases expected, surveyors have said today.

The August 2016 UK Residential Market Survey from the Royal Institution of Chartered Surveyors (RICS) found that 17 per cent more respondents in Scotland reported an increase in prices (up from +8 per cent in July).

Prices have been steadily rising in Scotland since early 2013 and expectations now point to further rises over both the three and 12 month horizons.

A key factor in supporting the rising prices is the continued shortage of stock for sale. This looks set to continue as new instructions declined once more with 10 per cent more respondents reporting a decline in new instructions in August.

Gail Hunter, director RICS in Scotland, said: “Across the UK we are seeing confidence return following the EU Referendum. In Scotland, prices looks set to remain firm in part caused by the lack of stock across the country.

“Uncertainty remains over the market post Brexit, and expected sales have declined yet again, but this week we have seen the First Minister take some very welcome steps, which will help to return some much needed stability to our property and construction sectors. The Scottish Government’s Programme for Government 2016-17 has provided key policies and legislative proposals that could provide much needed certainty in an uncertain world.”

Tags: RICS

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