Economic statement
Average house prices in Scotland increased by 2.5% (provisional estimate) in the 12 months to May 2024. This was down from 4.8% (revised estimate) in the 12 months to April 2024 and was higher than the average UK house price annual inflation of 2.2% (provisional estimate) in the 12 months to May 2024.
Scotland’s average house price rose to £190,000 in August 2022 before falling to £178,000 in February 2023. Average prices then rose for several months and stabilised in late 2023 around £187,000 before increasing to £191,000 in May 2024.
On a non-seasonally adjusted basis, average house prices in Scotland increased by 0.3% between April 2024 and May 2024, down from an increase of 2.5% during the same period 12 months ago. On a seasonally adjusted basis, average house prices in Scotland decreased by 0.2% between April 2024 and May 2024.
Comparing the provisional UK HPI volume estimate for March 2023 with the provisional UK HPI volume estimate for March 2024, the volume of transactions decreased by 4.1% in Scotland and decreased by 36.1% in the UK.
In Scotland, semi-detached houses had the highest annual percentage change out of all property types, increasing by 4.8% in the 12 months to May 2024 to £205,000. Flats and maisonettes had the lowest annual percentage change, which increased by 1.0% in the 12 months to May 2024 to an average price of £134,000.
In Scotland, 29 of the 32 local authority areas showed an increase in average house prices in the 12 months to May 2024. The highest annual percentage change was in Stirling, where average house prices increased by 13.3% in the 12 months to May 2024 to £260,000. The lowest annual percentage change was in Dumfries and Galloway, where average house prices decreased by 0.4% in the 12 months to May 2024 to £160,000.
As with other indicators in the housing market, which typically fluctuate from month to month, it is important not to put too much weight on one month’s set of house price data.
