Property market pick-up indicator of better times

Jacqueline Law
Jacqueline Law

The tough economic conditions which have engulfed Aberdeen for the last four years may be coming to an end, according to new figures indicating tentative signs of a recovery in the local property market.

Research for Aberdein Considine’s Property Monitor has revealed that residential property sales in the Granite City have increased for the first time in nearly two years, with a rise of 7.9%.

This swing into positive territory backs up recent analysis of the local market by property experts at the firm, which had identified a range of encouraging economic indicators for the city and region.

In a further boost for the area, the value of property changing hands saw a 7.3% uplift, with total sales of £221,963,819.

Prices in Aberdeen also appear to have stabilised, and whilst there was still a 0.5% year on year fall, the average cost of a home was £199,834.

The firm said whilst any recovery remains in its early stages, the figures also provide some affirmation that investment projects are already beginning to have a real impact, with buyers and investors returning to the city.

There are also indications that the upturn in the energy sector could be having a knock-on effect on the wider north-east region, with property markets in Angus and Dundee also enjoying a resurgence.

Aberdein Considine managing partner Jacqueline Law welcomed the boost for north-east market and confirmed growth across Scotland.

She said: “The upturn in Aberdeen is great news after a prolonged difficult period, and is hopefully an indicator that we are beginning to see the north-east emerge from one of its most testing downturns.

“Critically, the positive effects of a return to sustainable growth in the energy sector should filter through to the rest of the country. There’s still a huge amount of work to do, but news of the longer term investment plans for the area, and the oil price having hit $80 this year, hopefully provides the necessary level of optimism to help maintain the momentum.”