The average price of a property in Stirling has shot up by more than 10 per cent in a year – despite the financial strains on many during the pandemic.
The latest Scottish House Price Index data has revealed that prices locally are the sixth highest in the country, with a pad costing on average £238,388 in December 2020.
It marks an increase of 10.5 per cent on the same figure in December 2019 and puts Stirling as the sixth most expensive area to live in across Scotland.
Stirling also comes in as the second priciest of Scotland’s seven cities to live in, with only Edinburgh having a higher average property price at the end of the year.
The jump in house prices is reflected on a national basis, with transactions in October and November 2020 sitting at their highest levels for six years.
The annual price growth of 8.5 per cent is also the highest since March 2015, with Scotland’s average price going past the £200,000 mark.
Alan Penman from chartered surveyors Walker Fraser Steele – who were behind the research – said: “The Scottish housing market passed a notable milestone at the end of 2020, as the average property price rose above £200,000 for the first time ever.
“This new record follows a year of extraordinary growth in the Scottish market – the average price increased by over eight per cent during the last year and 11 per cent over the last two years.
“The increase in the threshold for the Land and Buildings Transaction Tax (LBTT) played a key role in stimulating the market over 2020. Indeed, the average number of monthly property transactions in 2020 doubled since the measure was introduced in July, though the easing of coronavirus restrictions may also have played an important part in the increase in activity.
“It’s also worth noting that the economic effects of coronavirus have not been felt equally and while many Scottish households have struggled financially, some have been able to use the pandemic to bolster their savings.
“Working from home while cutting out the costs of commuting and socialising has provided an unexpected opportunity for some to save towards a deposit for a property.
“These buyers have also benefited from very low interest rates, which have encouraged many to enter the property market, while also disincentivising saving. The result of this cumulative stimulus has been a record-breaking year for the Scottish property market.”