Scottish house prices hit new high for third month running: Walker Fraser Steele – Mortgage Strategy

Scottish house prices hit a new record high in May for the third month in a row, reaching an average of £225,636.

The latest index from Walker Fraser Steele shows that prices were up by 2.5% year on year and by 0.3% compared to April. 

West Dunbartonshire was the local authority with the highest annual growth, as prices rose by 12% to £153,786.

East Lothian saw the biggest fall, with prices down by 6% to £324,693.

Walker Fraser Steele regional development director Scott Jack says: 

“The market has remained remarkably resilient in recent years given the challenges it has faced but this month’s gain of nearly £600 (0.3%), represents the strongest performance for two years. 

“This is a hat trick of record new house prices over the past three months.

“Our data shows that Scotland’s average house price is now well in excess of £225,000 and comfortably above its earlier peak in September 2023. “Clearly, Scotland is enjoying an earlier and stronger revival than across most of England and Wales.

“At a local authority level, the market saw increases in 15 areas, and, with the onset of a new government, we expect market sentiment will further improve. 

“The new government has already said it is supportive of the existing mortgage guarantee scheme which has been used to good effect in Scotland.

“Confidence will likely be further buoyed as the Bank of England begins to cut its base rate in the coming months.”