Realistic pricing has been one of the main drivers behind improved transactional growth in Scotland’s country locations over the last few years. Country locations now offer excellent value for money and continue to attract buyers from outside Scotland.

As a consequence of favourable exchange rates, Scottish property is now more affordable to overseas buyers and the number originating from outside Scotland has increased significantly. This is particularly noticeable in hotspots such as St Andrews, where the majority of higher priced properties sell to international buyers.

Whilst activity has improved, it has mainly taken place up to the £600,000 level, above which the market has been challenging. The market above £1 million on the other hand has experienced an increase in transactions but continues to be fickle. More expensive houses can take longer to sell and some vendors have had to accept discounted prices.

Scotland's heartland

Scotland’s heartland of Fife, Perthshire and Stirlingshire saw a 5% increase in average transaction prices during the year ending June 2018. This was led by an increase in activity between £200,000 and £600,000, with strong demand for houses with up to 15 acres. The stand out area was Stirlingshire, where the number of transactions and average price increased annually by 7% and 5% respectively, with rising activity in Balfron and Callander.

Fife led the prime market in Scotland’s heartland, with transactions above £400,000 reaching a 10-year high of 200 over the last 12 months.

Scottish Borders

The Borders has been one of Scotland’s leading areas over the last year, with the number of transactions and average price increasing annually by 3% and 6% respectively. Prime transactions above £400,000 reached a 10-year high of 150 over the last 12 months, led by resurgent second hand and new build markets.

Argyll & Bute

The average transaction price in Argyll & Bute increased annually by 4%, with more activity across higher price bands. Lochgilphead was the stand out area, where transactions increased by 47% from 85 during the year ending 2017 to 125 during the year ending June 2018.

Prime transactions above £400,000 reached a 10-year high of 65 over the last 12 months, over half of which took place in the Helensburgh area. Argyll & Bute continues to attract buyers from outside Scotland, making up 36% of prime transactions over the last 12 months.

Ayrshire

The residential market across Ayrshire witnessed a 4% increase in average transaction prices, with improved activity between £200,000 and £400,000. Above this level, the market has witnessed modest growth, led by the hotspots of Ayr and Troon.

Dumfries & Galloway

Dumfries & Galloway was another top performing area over the last year, with the number of transactions and average price increasing annually by 7% and 5% respectively. But the market improved mostly up to £500,000, with limited activity above this level.

Highlands & Islands

The market across the Highlands and Islands has grown over the last 12 months both in terms of transactions and prices. Growth has mainly taken place up to £600,000, with limited activity above this level, despite a number of transactions above £1 million taking place in the Ross-shire and Sutherland areas.