Here’s an Edinburgh property market update for April with some highlights from the press from the past month.
A record breaking start to the year
Warners Solicitors and Estate Agents shared the news that the Edinburgh property market is showing no signs of slowing down as it continues its record breaking start to 2019. There was a 27% annual increase in the number of properties coming onto the market, continuing the trend set in 2nd half of 2018. This comes after a couple of years of very low levels of properties being added to the market. “Throughout 2016 and 2017 potential sellers consistently cited a lack of properties for sale as the main factor stopping them putting their own home onto the market.”.
Warners suggests that there was a shift in attitude in 2018 with more homeowners taking the plunge on trying to sell their property. Warners also report that they saw 50% more properties going under offer between Oct and Dec 2018. The increased supply means that competition between buyers has lowered and so average premiums being paid to secure properties has dropped from 7% (over home report valuation) a year ago to a more manageable 4%.
The first time buyer market is still booming
Another report in the Evening News focuses on the first-time buyer part of the market (also very popular with investors), with ESPC reporting that 1-bedroom flats in Abbeyhill and Meadowbank have increased by 11.6% in the past year (from a 3 month average of £150,169 in 2018 to £167,564 in 2019).
According to ESPC, 1-bedroom flats in Dalry, Gorgie, Slateford and Chesser sold in the quickest time (15 days). The report drills deeper into premiums paid over home report valuation in these areas with an average premium a(bove home report valuation) of 8.1%.
Focus on Prime Properties – Edinburgh one of the top cities in Europe for growth
According to Propertywire, Edinburgh’s property market has seen moderate price growth so far in 2019 but it’s still one of the top cities in Europe for growth. Knight Frank analysed Rightmove sales data and reported that the prime property market (properties selling above £500k) was up 7.6% in a year, down slightly from the 10.6% year on year growth seen towards the end of 2018.
According to the report, there’s still a lack of new properties coming onto the market, so demand is pushing prices up with family homes increasing 9.2% and flats increasing 5.1% in a year. This trend is expected to continue throughout 2019 as a lack of clarity around Brexit causes buyers to hold off marketing and so demand outstrips supply (the number of prime properties for sale was down 5% since same period in 2018 and a massive 22% lower than in first quarter of 2017).
What else could you get? And finally, to compare how far your money could go elsewhere, Edinburgh Live highlights what you could get for your £290,000 (Edinburgh’s average property value) in other cities around the world. Swimming pool anyone?