SURVEYORS in Scotland have reported slower homebuyer demand in February, but expect sales and prices to continue rising.
The findings are revealed in the latest Royal Institution of Chartered Surveyors (RICS) Residential Market Survey.
A net balance of -8% of respondents in Scotland report new buyer enquiries fell last month, down from the net balance of 18% seen in the previous survey. This is the lowest this balance has been since mid-2024.
A net balance of 8% of respondents report that instructions to sell rose, which is down from the 27% seen in January.
Looking at sales, a net balance of 7% of surveyors in Scotland reported a rise in newly agreed sales – the second consecutive month this balance has been in positive territory. And a net balance of 39% of respondents anticipate sales will rise over the next three months.
A net balance of 28% of respondents in Scotland report house prices rose over the past three months, though the rate of price increase had moderated from January’s report. Surveyors are optimistic that prices will continue rising with a net balance of 24% of respondents anticipating that house prices will increase over the next three months.
Commenting on the sales market, Marion Currie ASSOCRICS, RICS registered valuer at Galbraith in Dumfries & Galloway, said, “Activity has increased as February has unfolded. Agreed sales are starting to gain momentum and a good supply of fresh stock is in the pipeline. An encouraging outlook as we head towards a new financial year.”
Thomas Baird MRICS of Select Surveyors Ltd in Glasgow added, “An increase in house prices across the board in Britain, and Scotland included, with a steady growth in sales and also in the letting market.”
Commenting on the UK picture, RICS head of market research & analytics, Tarrant Parsons, said, “February’s survey highlights renewed volatility in the market. While activity indicators at the start of the year suggested a tentative improvement, the deterioration in the geopolitical backdrop has clearly weighed on confidence.
“The recent rise in oil and energy prices has also increased the likelihood that mortgage rates will remain higher for longer. As a result, near-term expectations have softened. Although the twelve-month outlook remains positive overall, maintaining that trajectory will depend on the recent spike in inflationary pressures easing in the months ahead.”
