Highest average house prices recorded in final 2014-15 quarter
The pending introduction of land and buildings transaction tax appears to have had an effect on Scotland's house transaction statistics for the January-March quarter of 2015, published today by Registers of Scotland.
The LBTT tax, which replaced stamp duty land tax in Scotland from 1 April, means a substantial rise for buyers of larger properties, while offering no increase, or a saving, where the purchase price is less than about £330,000.
Registers' figures show that the average price of a residential property in Scotland increased by 13.3% during the quarter compared with the same period in the previous year. The £173,830 average is the highest figure recorded for any quarter since Registers began compiling quarterly statistics in 2003, and the highest quarterly increase in average price since quarter 1 of 2007-08.
Tending to bear out the LBTT effect is the fact that all property types showed a decrease in sales volumes, except for detached properties, where sales were up by 9.1%, bucking a general decline in volume of 4.7% – the highest annual decrease in sales volumes since quarter 1 of 2011-12. Flats showed the biggest decrease at 9.1%. The total volume of sales across Scotland registered during the quarter was 16,946. Overal volumes year-on-year rose in six areas, including Edinburgh and Glasgow, but West Dunbartonshire showed the highest growth at 10.6%. Midlothian showed the biggest drop, at 28.1%, followed by Orkney at 25% and West Lothian at 22.1%.
All local authorities in Scotland showed a year-on-year rise in average prices. The highest percentage rise was recorded in East Lothian, up 28.6% to £248,902. Edinburgh City recorded the highest average price at £260,647, a rise of 21.4%.