Housing market shows some signs of recovery

For sale signs
For sale signs

The property market in Bearsden and Milngavie is showing tentative signs of recovery according to new industry figures.

Sales were up by almost a third on the same time last year and prices reversed some of the falls seen at the start of the year.

However, in the greater Glasgow area as a whole, they remain two per cent lower than a year ago.

In areas such as Bearsden and Milngavie, there is evidence of rising prices and faster selling times and someproperties are beginning to sell for over their home report value.

Professor Gwilym Pryce of Glasgow University, who analysed sales data from Glasgow Solicitors Property Centre (GSPC), said: “The GSPC data reveals some encouraging signs of house price recovery in the West of Scotland.

“We have heard claims of market recovery before, so caution is a wise strategy.

“Nevertheless, the GSPC figures do offer some tentative reasons to be optimistic about housing market prospects in the West of Scotland.

GSPC’s Mark Hordern said: “This is the first time we have seen more sales, faster selling times and a recovery in prices since mid 2010.

“A new mood of realism among sellers and improved mortgage availability has driven a significant increase in activity. All of that bodes well for the market as a whole.

“In the desirable suburban locations on the outskirts of Glasgow there is some evidence of rising prices and faster selling times.

“It is these areas that have traditionally led the way in the property market and we would expect to see the improvement in market conditions spread out from there.”

For the greater Glasgow area as a whole, the average selling price is now £119,000.

That is almost £2,500 lower than the same time last year, but represents a recovery of over £6,000 from a low point of £112,000 this spring.

Average property values are now broadly back to where they were at the start of 2006.

Selling times, a key indicator of market health, fell sharply to 88 days, down from 133 days at the start of the year.

It is the first time that selling times have fallen below 100 days since mid-2010.

Sales were nine per cent up on the previous three months and were 32 per cent higher than the same three months last year.