Value of prime property in Scotland falls behind that south of the Border

HIGH-end properties in Scotland under-performed compared with their equivalents in the rest of the UK last month, new figures have revealed.

A monthly survey by PrimeLocation.com found that overall homes at the top of the market have done well – rising by £74 a day since January – and by 0.5 per cent in October, when compared with the previous month.

The “prime” section of the market covers homes that have values in the top quarter of all sales.

But although the price of luxury homes in Scotland has risen during 2011 – by £57 a day to £403,530 – the average selling price dropped last month by 1.2 per cent. The slump was the largest of any region in the UK. Only Yorkshire and the Humber and the east of England noted a similar drop – both of just 0.4 per cent.

The decrease in Scotland mirrored the situation in other areas of the housing market north of the Border. Overall, prices fell by 1.3 per cent last month, according to the study.

Nigel Lewis, property analyst at PrimeLocation.com says: “Prime properties are driving the market at the moment, leading price increases in areas where the market is robust, and stabilising the market in areas where asking prices are dropping.”

London noted the biggest rise last month, bucking the overall increase for the area of 0.9 per cent to see prices at the top end of the market grow by 2.8 per cent to £1.18 million.