What does it costs to buy a home in Edinburgh?

How much do you really need to save to purchase a property in Edinburgh, which areas suit your budget, and when is it time to buy?

By The Newsroom
Sunday, 9th July 2017, 9:08 pm
Updated Tuesday, 12th September 2017, 11:58 am
How much does it cost to buy a property in Edinburgh? Picture: Shutterstock
How much does it cost to buy a property in Edinburgh? Picture: Shutterstock

The idea of buying a home is exciting but also overwhelming, particularly for first time buyers. We’ve broken things down to answer all of your questions.

The average cost of a house in Edinburgh

The current average property value for a home in Edinburgh is £268,670.

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This figure has dropped from £271,169 (-0.92 per cent) last year.

The average deposit for a house in Edinburgh

Buyers in Edinburgh have to stump up for the most expensive deposits in Scotland, with an average of £11,400.

Edinburgh property: the extremes

The most expensive city centre property currently on the market in Edinburgh is listed at £2.85 million

The cheapest city centre property currently on the market in Edinburgh is listed at £70,000

Also currently on the market in Edinburgh – two city centre parking spaces, priced at £44,000

The most expensive areas to buy in

As of July 2017, the three most expensive Edinburgh areas to purchase a home in are Morningside (EH10), the EH9 postcode (which includes Marchmont, Sciennes and Blackford) and the city centre (EH2).

The average cost of a house in Morningside is £446,422, although, interestingly, this is £3,515 less than last year’s figure of £449,937 in the same area.

Buying a property with an EH9 postcode will cost you an average of £420,863 (a £4,486 drop since July 2016), and in the city centre the price is £418,875 – £6,268 less than last year.

The cheapest areas to buy in

At the opposite end of the spectrum, properties with an EH11 postcode (which includes the Dalry, Gorgie and Sighthill areas) are the most affordable in the city, at an average cost of £165,926. This is £3,284 lower than last year’s average prices.

Homes in Liberton (EH17) come in as the next cheapest, costing £171,839. In 2016, the same properties would have cost an average of £2,568 more.

The area surrounding Holyrood Park (EH8) is home to the third most inexpensive properties in Edinburgh at the moment. Buying here costs an average of £203,299, which is £2,466 less than last year.

The areas with the fastest rising prices

House prices in much of the city are falling fairly rapidly, aside from those in the EH1 postcode – namely the Old Town and York Place areas.

A flat or house close to Edinburgh Castle, the National Museum of Scotland or the Playhouse Theatre now costs an average of £292,128, while this time last year they were selling for £2,623 less.

Aside from the EH1 area, only Portobello and Duddingston (EH15) have seen house prices rise in the last year, and even then, the difference is marginal. Properties here are on the market for an average of £258,366 – £352 more than last year.

How Edinburgh property prices might change in the future

Although it was reported earlier this year that Edinburgh house prices looked set to increase in 2017 due to political uncertainty, fluctuations in the last year paint quite a different picture.

In September 2016, PwC predicted that Scotland will avoid a recession – and this was confirmed this week – meaning that house prices could fall slightly, before recovering and rising in 2018.

Should this be the case, now might be the time for first time buyers to purchase a home, before prices rise again next year.

Average property prices by Edinburgh postcode

EH11 – £165,926

EH17 – £171,839

EH8 – £203,299

EH7 – £203,603

EH6 – £204,113

EH30 – £214,433

EH16 – £225,020

EH5 – £240,954

EH29 – £242,546

EH1 – £292,128

EH15 – £258,366

EH14 – £258,513

EH12 – £290,702

EH13 – £303,639

EH4 – £308,865

EH3 – £385,674

EH2 – £418,875

EH9 – £420,863

EH10 – £446,422

Property price information provided by Zoopla and mortgage information provided by MoneySuperMarket