Prices increased too, up 1.6% to £167,734, with the highest price rise recorded in Inverclyde at 13.1%, according to the figures from the Registers of Scotland (RoS).
‘As well as a significant increase in the volume of sales this quarter, prices have reached their highest since RoS began compiling quarterly statistics in 2003. Combined, this indicates a more robust and active property market,’ said RoS commercial services director, Kenny Crawford.
The highest percentage rise in volume of sales was recorded in Midlothian, with an annual increase of 30.2% compared with the same quarter last year. The City of Edinburgh recorded the highest volume of sales, up 21.4% while the largest drop was in Aberdeen City with sales down 12%.
The highest average price is in Edinburgh where values have increased by 3.2% year on year to £233,255, while the largest fall was in Dumfries and Galloway, a drop of 9.9% to an average of £130,275.
The total value of sales across Scotland registered between October and December increased by 16.3% to just under £4.83 billion, the highest value of sale for any quarter since the second quarter of 2009.
Edinburgh remained the largest market with sales of just under £824 million for the quarter, an increase of 25.3% on the previous year. East Ayrshire recorded the highest increase in value with sales of over £66 million, up 33.9% and Aberdeen had the largest decrease in overall market value, down 13.6 to over £273 million on last year.
All property types showed an increase in sales volumes, with flats showing the biggest increase at 18.4%. In terms of prices, flats were the only property type to show an increase in average prices, up 0.6% to £130,679. Detached, semi-detached and terraced properties all saw decreases in average prices of 0.3%, 1.4% and 3.5% respectively.
Simon Brown, partner and head of residential sales at CKD Galbraith, pointed out that the Scottish property market as a whole has endured many changes over the last year and more are to come.
‘The 3% levy on second homes being introduced in April will no doubt bring a flurry of property sales to the market to beat the deadline as well as impact house prices as buyers of buy to lets will seek to pass on the extra purchase costs by reducing the price they are prepared to pay,’ he explained.
‘Demand for prime property at the top end of the market looks set to continue, especially in Edinburgh and the surrounding areas. Generally, the Scottish property market is demonstrating healthy growth with good quality properties selling quickly and some very encouraging signs for the year ahead especially as we approach the prime Spring selling period,’ he added.
Michelle Grant, investment director at Grant Property, believes that the figures are a real indication of the buoyancy of the property market. ‘From a buy to let perspective we have seen an increase in demand for investment properties in Scotland over the last three months and we are seeing high levels of tenant demand too,’ she said.
‘The positive momentum could be attributed to increased salaries, affordability and low inflation creating an early arrival of the New Year rush, when the market often sees a surge in property values,’ she pointed out.
‘Prime areas in Edinburgh have proved particularly popular with most properties selling for more than the Home Report valuation,’ she explained, adding that in some cases there have been 20 or more buyers for prime location properties with some buyers bidding up to 20% above valuation just to secure the property.
