Property prices in Scotland expected to rise over next three months and beyond

The report says that a net balance of 36% more respondents were predicting transaction levels will grow compared with 12% in the previous survey. The longer term picture also looks positive, with 64% more respondents expecting sales to rise over the next 12 months. A key driver behind this jump in activity is the recent upturn in buyers testing the market. Interest from would be buyers in Scotland rose sharply during May, with 71% more chartered surveyors reporting rises rather than falls in new buyer enquiries. Prices in Scotland also look set to turn the corner over the next 12 months, with 36% more surveyors predicting a rise in house prices over the period. Feedback from chartered surveyors suggests that prices will rise by between 1% and 1.5%. Moving on to the rental market, tenant demand continued to rise during May, although the rate of growth has begun to slow in the last few months. Even so, the sustained demand in the rental market continues to underpin positive rental expectations. ‘May was an interesting month for the housing market in Scotland. There has been a definite increase in activity, with an encouraging increase in new buyer enquiries and new instructions. There is still a very long way to go until we see a full scale recovery but green shoots are beginning to sprout,’ said Sarah Speirs, director RICS Scotland. Meanwhile, the Law Society of Scotland is to set up a working group to look into Scotland’s residential conveyancing practice and procedure with a view to enhancing and developing the process to meet the needs of home buyers in the 21st century. Law Society Council members agreed that the working group should be carry out a full review of the sale and purchase of homes in Scotland and bring forward proposals for improvements appropriate for the property market today and for the future. Ross MacKay, convener of the Society’s Property Law Committee, will also convene the new working party. ‘The background to this is the discussion on separate representation in conveyancing transactions as we believe the current situation needs to change. We felt that the current discussion on separate representation has created a prime opportunity to examine residential conveyancing as a whole and to consider how we can modernise and improve the processes involved, yet preserving the unique characteristics of Scots property law which benefit in my view the Scottish public,’ said MacKay. ‘There have been a number of improvements in recent years such as introducing standard clauses across parts of the country and increased use of new IT and online technology, but we believe there is room for further change and innovation,’ he explained. ‘The aim of establishing the working group is to bring together highly knowledgeable individuals with a deep understanding of current conveyancing practice, as practitioners or academics or with a consumer interest focus, to consider how we can update and improve what we currently do to benefit everyone involved in buying and selling a home,’ he added. Individuals will be invited to join the working group, with a six month interim report and final report expected to be produced for consideration by the Society’s Council.