House Prices Increase As Demand Grows

A new survey has revealed that a lack of available properties, plus a "burgeoning" demand among buyers have forced house prices to increase in Scotland.

The study, carried out by the Royal Institute of Chartered Surveyors (RICS) found that house prices had increased in September, with 32% more respondents reporting price increases rather than falls.

A net balance of 78% more surveyors also recorded an increase in new-buyer inquiries.


However, the survey added that the number of homes entering the market are unable to keep up with the "burgeoning" level of demand.

Elsewhere, more than half of respondents said they expect prices to continue to rise for the next three months.

Commenting on the survey, Sarah Spiers, RICS Scotland Director, said: "It's encouraging that the market is starting to improve in all parts of the country, with more buyers looking to make a move and more sales going through.

"Even so, it's a big concern that the supply of property coming to the market is lagging so far behind demand, particularly with the recent launch of Help to Buy in Scotland.

"This imbalance is likely to result in further upward pressure in prices over the coming months, particularly in popular areas."

(JP/IT)