Scottish house prices on the rise
Published On 22 November 2006
Property prices in Scotland continue to be on the rise, according to new figures from Lloyds TSB.The latest Scotland House Price Monitor from the group has found that although the boom may be over, house prices north of the border are still experiencing sustained growth.
Underlying annual increases for Glasgow and Aberdeen stood at plus eight per cent and plus 15 per cent respectively.
In the three months to the end of October, the average price of a Scottish property increased by 2.6 per cent to £145,593.
Professor Donald MacRae, Lloyds TSB chief economist, said: "The rate of increase of house prices in Scotland has been faster than in the rest of the UK. Relatively low interest rates and a favourable economic background continue to propel the housing market in Scotland upwards.
"Consumer optimism remains moderate to high; demand for consumer credit strong and unemployment claimant count close to a thirty year low.
"The Scottish house price boom is lasting longer than expected but the recent increase in the cost of borrowing, with perhaps more to come in spring 2007, will ensure the Scottish house price boom gently subsides rather than busts."
