Sales activity holding firm as confidence grows but sensible pricing remains key
There’s a lot to feel positive about in Edinburgh’s property market this spring. Despite a slightly slower pace than this time last year, the market remains resilient, with both buyer and seller confidence staying strong. There’s plenty of information out there to help us tell the story of what’s going on in the market. Here are some of the key figures we’ve picked up on this month…
Looking into the April data for Edinburgh & The Lothians
Looking into Rightmove data for Edinburgh and the Lothians, new instructions across Edinburgh and the Lothians are at their highest level since before COVID, up 11% year-on-year, and 41% higher than in 2023. Sales agreed are 10% higher than this time last year, and 33% higher than in 2023, showing clear upward momentum in market activity.
From Zoopla’s latest market report
Across the UK, there’s a similar story. Sales volumes are up 6% and there’s a growing number of homes coming to market – 15% more listings than this time last year. This is creating a more balanced market and helping to slow house price inflation, which currently sits at 1.7% annually. The outlook is steady: Zoopla expects more sales but slower price growth in the coming months.
Average Sale prices up 6.8% year on year
Further reports suggest that the average time for a property to go under offer in Edinburgh & The Lothians has increased slightly to 34 days – four days slower than May 2024. That said, properties are still selling for an average of 101% of their Home Report value, and average sale prices in Edinburgh are up 6.8% year-on-year. Sales volumes have also risen nearly 8%, showing that the market is active and moving. For sellers, this means relatively stable, predictable market conditions. For buyers, it’s a more level playing field – with less intense competition for a lot of properties and homes selling closer to their valuation, there’s a better chance of securing a deal that works for their mortgage affordability.
Interest rate cuts supporting buyer momentum
The Bank of England has made its second Base Rate cut of the year, bringing it down to 4.25%. Further cuts are expected, potentially closing out the year at 3.75% or lower. This is slowly feeding into better mortgage rates, giving buyers a bit more breathing room. While lenders are still being cautious, we’re already seeing increased activity as rates inch downwards.
What we’re seeing at Umega
On the ground, our sales team is feeling the pace pick up across the board. A bungalow in Corstorphine drew over 45 viewings and secured 11 offers at closing date. This week, family homes in Corstorphine, Abbeyhill and St Andrews all went under offer in under a week. Flats are moving quickly too – a 2-bed in Granton and a 1-bed in Tollcross both hit closing dates within a week. We’ve also agreed two sales off-market and secured an offer on a 3-bed flat in Trinity within five days. Our overriding message to sellers is; price sensibly in order to attract as many interests as possible and to drive the maximum price.
In Summary
This is a good time to be in the Edinburgh property market. Whether you’re looking to sell or buy, the conditions are supportive. Properties are shifting steadily, pricing is strong but realistic, and the direction of travel for interest rates is encouraging. If you’re thinking of making a move this summer, now’s the time to get your plans in place.