Call us today on 0141 552 9193
GLP News

News, Comment & Opinions on the latest legal stories

Glasgow Law Practice White

Practice made perfect

Aberdeen fares best in Scotland since the housing boom

Rochford in Essex and South Lakeland are the only two local authority districts in the UK where house prices are currently higher than they were in 2007, according to the latest research from Bank of Scotland. Aberdeenshire is the only local authority district in Scotland in the UK top 20, however with a 7% fall in average prices during 2007-2011.

The research demonstrates that, since the peak of the housing market in 2007 and the subsequent period of declining prices, homes throughout the UK are still short of those peak historical values. Even in Rochford (1%) and South Lakeland (0.1%), prices are only marginally above pre-recession levels. The list of 20 areas where prices have performed best since 2007 is dominated by areas in southern England with only four of the top 20 outside that part of the country.

The market in Aberdeenshire has been supported by the buoyancy of the local energy sector, which has fared very well in the past few years. Highland (-9%), Perth & Kinross (-11%), Aberdeen City (-11%) and Edinburgh (-11%) are the other areas that have performed most resiliently in Scotland during the downturn.

The nine worst performers in the UK in house price terms over recent years are all in Northern Ireland. The biggest decline has been in Craigavon where the average price has more than halved from £213,844 in 2007 to £103,383 in 2011. There have been similar falls in other areas of Northern Ireland. Prices have fallen sharply in Northern Ireland following the remarkable – and ultimately unsustainable – gains in the few years leading up to 2007.