Friday, 18 May 2007

Crash begins in Scotland

The long expected housing crash is well under way in Scotland. According to data released by the Registers of Scotland, residential property prices fell by 2.2 percent during the first quarter of this year. The average house price north of the border is now £139,836 compared to £143,055 at the end of last year.

A 2.2 percent fall within just three short months. That is quite a fall. It won't take many quarters like this one before panic selling sets in. The message from Scotland is simple; forget about the past; going forward housing is an asset that loses value.

Sell if you can, rent if you are lucky and buy if you are a fool.

1 comment:

Anonymous said...

Year on year it's still up, so confirmation of the trend will have to wait three months. I think it says average house price - does the median come in to it? Weakness in the low price sector can boost the median, which might mask and even greater fall.

Are you a journalist? That's pretty snappy linking to a 'not for broadcast' document.