Number of luxury Edinburgh properties selling for £1 million on the rise

Edinburgh is behind a rise in luxury home sales in Scotland, with the number of properties selling for £1 million or more up 21 per cent year on year in the first half of 2019.

By The Newsroom
Sunday, 8th December 2019, 1:07 pm
Updated Sunday, 8th December 2019, 1:19 pm
Edinburgh has seen an increase in £1million properties being sold.
Edinburgh has seen an increase in £1million properties being sold.

The rise in Scotland was much greater than that across the UK, which was up just five per cent in the same period, according to Bank of Scotland analysis.

Scotland’s capital city drove the increase, with sales of £1 million-plus homes up 41 per cent - 18 houses - in the first half of 2019.

Of the 94 such properties sold in Scotland between January and June 2019, only 32 were sold outside of Edinburgh, meaning the city accounts for two-thirds (66 per cent) of all these sales across the country.

Another area of growth in the high-end property market in Scotland was East Lothian, where five £1 million-plus homes were sold in the first half of 2019, up from one in the first six months of 2018.

Aberdeen sales also grew, with four luxury homes sold in the first six months of this year, up from two in the same period the previous year.

However, elsewhere in Scotland recorded falling sales in the high-end market, with two such homes in Glasgow being sold in the first half of 2019, down from five in the same period in 2018.

In Fife, eight luxury homes were sold in the first six months of this year, down from four between January and June 2018.

The number of properties that sold for more than £1 million in East Dunbartonshire also halved, dropping from six to three, while sales in East Renfrewshire fell from three to two.

Louise Santaana, head of private banking, Bank of Scotland, said: “Whilst the high-value property boom the UK experienced over the last decade has slowed over the past 12 months, sales of million-pound homes in Scotland have continued to increase, with the most transactions taking place in Edinburgh.

“The Scottish capital continues to be a sought-after destination for those looking to invest in million-pound houses.”

Last month, Sean MacMillan, Aberdein Considine Property Partner in Edinburgh said that despite fears over Brexit, sales prices were holding out across much of Scotland.

He said: “There is clearly homeowner anxiety around Brexit, but this has yet to be reflected in sales figures, perhaps due to the greater public having little idea what Brexit will actually look like.

“With another extension in place, we would expect to see these fears ease in Q4 as a new Parliament is elected. The make-up of that parliament will have a big say on what market sentiment will be going into Q1 of next year.”

Aberdein Considine’s analysis of the new build market showed that the current average new build price is now at its highest level since the financial crisis, £231,686, up 7.6 per cent on 2018. The cost of a new build home in Edinburgh is now £294,577, a 2.1 per cent rise, and both East and Midlothian stood out with respective increases of 12.2 per cent and 10.1 per cent.