Prices fall on prime Scotland propertyMonday, 30 January 2012 10:10
Prime property in Scotland has fallen in price, according to new figures. A report by Knight Frank found high-end Scottish property prices have slipped by 3.2% in 2011 but the Scottish Borders buck the trend, with prices rising by 1.2%.
Large country houses have fallen in value by 4.3% year on year, while cottages are down 1.5%. Stock levels are up 10%, which may account in part for the price fall.
Average prices of country houses outside Edinburgh fell by 1.3% in the final three months of the year, a more modest decline than the 1.5% decline in the third quarter. Average prices are down 3.2% year on year, but this masks some regional variations. Prices in the Scottish Borders have been resilient, rising by 0.2% between October and December, and 1.2% year on year. But the South West of Scotland has suffered larger falls, with prices down 7% year on year.
“As usual in such tough fiscal conditions, a two tier market develops," said Ran Morgan, Head of Knight Frank’s Scottish residential department.
“Large houses with comparatively little land, outside the commuting areas, have been the worst affected properties in the downturn. Those with land or an ability to run a business have traded satisfactorily. Both in the City and the rural markets we have been unseasonably busy with enquiries and offers during the recent weeks leading up to and including the festive period. This bodes well for 2012.”