Scottish residential property sales steady at £18.5bn

The Registers of Scotland’s Property Market Report 2020-21 shows that the average price of a residential property in Scotland in 2020-21 was £194,100, up 6.7% on 2019-20 and up 25% compared with the pre-financial crash average price of £154,813 in 2007-08.

The value of Scottish residential property sales in the financial year 2020-21 was £18.5 billion, a decrease of only 0.2% compared to 2019-20.

Since 2003-04, the start of RoS house price data, the average residential property price in Scotland has increased by 92%.

The volume of residential property sales fell 6.5% from 102,053 sales in 2019-20 to 95,428 sales in 2020-21 and although volumes were 36% higher than the low of 70,334 sales in 2011-12 the 2020-21 figure was the lowest volume when compared with the previous three financial years.

“The introduction of Covid-19 measures resulted in a substantial drop in sales being submitted to Registers of Scotland for registration in the first quarter of 2020-21, followed by some higher-than-average increases in the latter quarters of the year as lockdown measures were relaxed,” said RoS.

“The sales volume remains 36 per cent below the pre-financial crisis level peak of 149,944 sales in 2006-07 …

“This marked the first year there was a decrease when compared with the previous year since 2011-12.

“The residential sales market value increased every year from 2012-13 to 2019-20, but remains 19 per cent below the pre-financial crisis level peak in 2007-08 (£22.9 billion).”

The report also looks at the non-residential market.

The total market value of non-residential sales in 2020-21 was £2.8 billion. Commercial sales accounted for 71% of this total, with the remainder from sales of forestry, agriculture and land.

The non-residential market was also impacted by Covid-19 measures.

In particular, there was an adverse impact on the market value of the commercial sales market, with market values in 2020-21 being lower in every month than the market values in 2019-20, except for March 2020-21.

RoS Accountable Officer Janet Egdell said: “The combined market value of the residential and non-residential markets in 2020-21 was £21.3 billion (residential £18.5 billion and non-residential £2.8 billion), 4.9 per cent lower than the previous year 2019-20.

“The combined market value remains 30 per cent lower than the peak of the market in 2007-08 (£30.4 billion), but 24 percent higher than 2003-04 (17.2 billion).”

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Mark McSherry
Dalriada Media LLC sites are edited by veteran news journalist Mark McSherry, a former staff editor and reporter with Reuters, Bloomberg and major newspapers including the South China Morning Post, London's Sunday Times and The Scotsman. McSherry's journalism has also appeared in The Washington Post, The Guardian, The Independent, The New York Times, London's Evening Standard and Forbes. McSherry is also a professor of journalism and communication arts in universities and colleges in New York City. Scottish-born McSherry has an MBA from the University of Edinburgh and a Certificate in Global Affairs from New York University.