The upturn in Scotland’s energy sector is having a knock on effect for property markets in Tayside and Fife, it has emerged.
The tough economic conditions which have engulfed the north-east corner for the last four years may be coming to an end, with new figures indicating a recovery is on the way.
Research for Aberdein Considine’s Property Monitor has revealed residential property sales in Aberdeen have increased for the first time in nearly two years, with a rise of 7.9%. This swing into positive territory backs up recent analysis of the local market by property experts at the firm, which had identified a range of encouraging economic indicators for the city and region.
Experts say the uplift can also be seen in Tayside , with a strengthening property market in Dundee seeing a 4.8% rise in average prices to £144,113, on the back of a 5.7% increase in the second quarter.
The city also enjoyed a 12% increase in the value of sales at £103,499,115. Alongside that, Angus experienced a 12.5% increase in the number of homes sold and an 11.2% rise in the value of the homes sold at £97,720,210.
The average price in Perth and Kinross notched up 1.4% to £206,188, the highest the area has seen this year. The value of property sold in Perth and Kinross this year has reached £428,000,000 and the price of a home is now 18% above the national average.
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Fife also saw activity increase significantly during the summer months with increases in prices, sales and the value of properties changing hands. The average price of a home in the region hit £148,778, a rise of 5.7% and the value of property sold rose 8.7% to £128,187,540. Over 850 homes were sold in the third quarter, up 2.8%.
James McKay, branch manager for Aberdein Considine in Perth welcomed the early recovery in the energy sector and the boost to local markets.
“Whilst we’re still very much in the early stages of the oil and gas recovery, it’s great news, and hopefully this will continue to filter through to the rest of the country,” he said.
“The autumn market in Tayside continues to see strong demand for middle market houses, and the signs are this should continue for the remainder of 2018. We saw strong sales activity across most price bands during the summer months and demand for property inspections and valuations remained robust.”
Mr McKay said: “We can’t ignore the ongoing turbulence in relation to Brexit, as well as the corresponding uncertainty this is causing to both businesses and homeowners, but hopefully any boost from the energy sector will provide some insulation against the challenges we might face over the next few months and years.”
The firm also carried out research among homeowners across the country which revealed three quarters of Scots paid the home report valuation or above for their property. Just 26% secured a property for under valuation, further underlining the strength of the economy in recent years.
