Scottish housing market to turn in 2009

Published on Friday 16 January 2009 18:19

THE worst of the house price falls in Scotland will be over before the summer, a property expert has predicted.

House prices in Scotland, which initially held out as values south of the Border plummeted in the first half of 2008, have experienced similar falls to those in the rest of the UK in the past six months, acknowledged Jamie Macnab, a director of Savills Scotland.

But he added that the end to the decline in prices was in sight: "Based on our valuation indices, we anticipate that the worst of the price falls will be over by the end of spring 2009. The latter part of the year will be more optimistic."

With lower values making the housing market increasingly affordable, buyers with equity behind them have an opportunity to regenerate the market in the coming months, added Macnab.

"Cash buyers and the equity rich who have benefited from recent increases will be well placed to take advantage of the rapid fall in prices. This is particularly true of those prepared to take a medium-term view of the market and balance this against the risk that the economic outlook will weaken further."