According to research conducted by estate agent DJ Alexander, the Scottish property market remains buoyant despite rising mortgage rates. The number of properties advertised for sale has increased significantly in various parts of Scotland. In Inverness, the number of homes for sale has risen by 83% year-on-year in August, while Dundee has seen an increase of 81%, Edinburgh 45%, Perth 22%, and Glasgow 17%. However, Aberdeen is experiencing a decline of 5%.

The August figures are among the highest in terms of volume in the past 30 months. David Alexander, the CEO of DJ Alexander Ltd, commented on the findings, stating that despite interest rates rising on 14 occasions since December 2021, the number of properties for sale in Scotland continues to rise. He noted that major cities are reporting double-digit growth, with Inverness and Dundee having nearly 100% more properties for sale compared to the previous year.

He said, “That the number of properties advertised for sale remains so positive is testament to the faith of homebuyers in Scotland who clearly believe that any downturn in the market will be temporary, and it is not acting as a hindrance to their purchasing desires. There must be a calmer period in the housing market at some point but with strong employment levels, very high wage rises filtering through the economy, and an underlying faith in the strength of the housing market it seems unlikely that Scotland will experience any kind of substantial fall in the next year or so.”

The Specifics:

1. Surge in Sales Ads: There’s been a big jump in the number of homes advertised for sale in several Scottish cities. Inverness tops the chart with a whopping 83% increase year-on-year. Dundee, Edinburgh, Perth, and Glasgow also saw considerable rises. Only Aberdeen showed a slight dip.
2. Mortgage Rate Rise, No Problem: You might hear that mortgage rates have been going up (14 times since December 2021 to be precise). Normally, this would make people hesitant about buying properties. But in Scotland? It’s like they’re dancing to a different tune. The number of properties for sale is still growing.
3. Types of Properties: Here’s an interesting bit: detached and semi-detached homes are in the spotlight. Their advertisements have more than doubled compared to last year.
4. Edinburgh’s Popularity: If Scotland was a party, Edinburgh would be the life of it. It’s seeing explosive growth, both in the number of sales and the rising property prices, especially for big homes.
5. Price Behavior: While the overall property market has seen prices go up a lot over the past few years, things are starting to cool off a little. But, and this is crucial, the dip is tiny in comparison to the previous rises.

What’s Fueling the Buzz?

1. Optimism: Scottish homebuyers are pretty upbeat. They think any market downturn is just a passing phase and not a big barrier for their buying plans.
2. Economic Strength: Scotland’s enjoying good times with strong employment and big wage hikes. This boosts confidence in the housing market.
3. Prediction: David Alexander feels that while the market might calm down a bit, a big drop in prices over the next year seems unlikely.

In Simple Terms: If the Scottish property market was a stock, it’s on an upward trend. Despite a few dips (like rising mortgage rates), the overall sentiment is strong, buoyed by a robust economy and confident homebuyers.

For Investors: This might be a sign to closely watch the Scottish market for opportunities, especially in booming areas like Edinburgh. However, always do your homework and consult with a financial advisor before making any investment decisions!