Scottish house prices gently subsiding
Posted: 18 Aug 2006 13:12:32 GMT
House prices in Scotland are gradually slowing down after a boom in the first half of the year, according to new research.
The Lloyds TSB Scotland House Price Monitor has revealed a mixed bag of figures that portray a varied picture in different cities.
Aberdeen and Dundee have seen a quarterly drop by 2.4 per cent and 0.4 per cent respectively. However both areas' annual growth rates are still the highest in Scotland, standing at 17 per cent.
Glasgow has demonstrated below average growth in its annual rate but saw a 5.9 per cent quarterly increase making it the joint highest growth region.
Edinburgh is still the most expensive city with quarterly growth of 1.3 per cent and an average house price of £186,648.
Overall the national average house price stands at £141,338 and has risen for 66 consecutive months. The quarterly growth does show, however, that the boom is slowing.
Professor Donald MacRae, chief economist for Lloyds TSB Scotland, stated: "The main driver of the housing market in Scotland remains the change in population.
"The total number of household in Scotland is projected to grow by 11 per cent up to the year 2024."
The Scottish economy is continuing to show strong growth but it does appear that the major pattern of hikes in house prices has now abated.
"The Scottish house price boom is subsiding, but gently," Professor MacRae added.