After the gloom and doom predictions for Scotland’s prime property market (from £400,000 to £1,000,000) in light of last year’s new Land and Buildings Transaction Tax (LBTT), it appears recovery in this sector, according to Savills’ research, outperformed Scotland’s overall market last year with the highest level of activity since 2007, which Savills puts down to the return of home-grown wealth and an upturn in suburban sales.
Andrew Perratt, head of Savills Residential in Scotland, comments: “Buyers are falling back in love with the suburbs where we are seeing the return of closing dates and premium prices.”
“This may be explained by a dwindling supply of homes in the most sought-after city locations.”
Savills predicts commuter locations will continue to see the greatest ongoing growth, and with lower fuel costs, areas such as Midlothian, Helensburgh and Kilmacolm are on the upturn.
Corum’s managing director, John Kelly, says: “What’s not to love about leafy suburbs with fantastic schooling and leisure facilities?
“The current intensity of demand and lack of supply in high amenity suburbs such as Giffnock, Newlands and Newton Mearns is seeing premiums being paid, fuelled by economic recovery and improved confidence borne out by increasing disposable income and continuation of affordable mortgages.”
In Clarkston, Clyde Property’s valuer John McDiarmid says 89 per cent of properties last year achieved Home Report value of above – and one recent three bedroomed semi-villa in Clarkston attracted 13 offers as a result of lack of supply in the area.
In Bearsden, Rettie & Co director Jonathan Riley says buyers are moving on with their lives regardless of LBTT – “and with good prime stone and character properties remaining in desperately short supply, competition can be fierce”.
Source: heraldscotland