New Aberdeen Housing Market Report
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Aberdeen Solicitors’ Property Centre Limited, in cooperation with the University of Aberdeen, Business School, Centre for Real Estate Research, has published a report for the second quarter of 2020 relating to the
Aberdeen Housing Market.
The main points arising from the report are as follows: The quarterly house price change in Aberdeen City and Suburbs is 3.5 percent, The annual house price change in Aberdeen City and suburbs is 0.9 percent,The annualised house price change over 5 years in Aberdeen City and suburbs is – 4.7 percent.
Commenting on these figures, John MacRae, Chairman of the Board of Directors of ASPC said:
“The report released by the Centre for Real Estate Research at the University of Aberdeen Business School, for the second quarter of 2020, based on data supplied by ASPC contains details of just how the current situation
has affected our local housing market.
"We knew that the Government strategy of lockdown was going to have severe effects for nearly all areas of business; the latest report shows just how dramatic that has been.
"Compared to the same period in 2019, sales fell by 64 percent.
"Given the severity of the lockdown provisions this should not be regarded as unexpected.
"Flats were most affected with a drop in volume of 69 percent year on year.
"Semi detached houses saw a drop of 61 percent year on year.
"Detached houses saw a drop of 63 percent year on year.
"Unsurprisingly, this was matched, during the second quarter, with an even more severe drop in properties coming to market.
" In the early part of lockdown, new insertions on ASPC dropped almost to zero. Since then, however, things progressed and since the easing of lockdown, insertions have risen, quickly, to near normal
levels.
John continued: "This activity appears to be matched by sales, although we have to bear in mind that sales were already at lower levels before lockdown.
"One interesting factor is that sales that are taking place are taking place, generally, at a price level slightly below asking price.
"The inferences to be drawn, if any, from the second quarter are subject to great caution.
"The low activity, resulting in reduced numbers of transactions, means it would be unwise to reach any fixed view of the current market.
"The welcome return to more “normal” activity, shown in the last 4 weeks, needs to continue for the remainder of the year, before we can say we seem to be over the worst."
Further information can be obtained from John MacRae, Chairman of Aberdeen Solicitors’ Property Centre at 40 Chapel Street, Aberdeen AB10 1SP, telephone 01224 632949, e-mail, John.MacRae@aspc.co.uk.
