EDINBURGH PROPERTY BRIEFING HOME TRUTHS ABOUT THE LOCAL MARKET NOVEMBER 2020 YOUR LOCAL Property profile Factors shaping MARKET the local market The best market in recent years for the area

“The housing market in Edinburgh has been busier than I can ever recall. Every statistic is up: the number of web hits, enquiries, properties coming to the market and sales over the past five months have all been extraordinary. The Edinburgh market is very strong, with local residents upsizing or downsizing to suit their needs. But the city is also on the map for people from further afield. We’ve sold quite a number of properties to 134% people moving from south of the border with almost Between July and October, 20% of all of our sales, and 30% of our £1million-plus the number of new buyers sales this year to people relocating from London, and who registered with our we’ve also seen an increase in the number of buyers Edinburgh Town office from overseas, particularly Hong Kong and East Asia. was 134% higher than the Edinburgh has a thriving financial sector and a same period in 2019. fast-growing technology sector, which are attracting buyers to the city. There’s demand for a wide range of properties, especially good quality flats and houses 65% with gardens and sufficient space for home working, This year, 65% of those buying both in the city centre and the suburbs. through our Edinburgh Town Buyers are willing to pay the right price for the right office were families, attracted property. Since the market reopened in the summer, by the city’s good schools and Registry Land and TwentyCi Research, Savills Data, Dealbook Savills Source: over 75% of the properties we’ve sold have done so the quality of life on offer. at competitive closing dates, and the average price achieved is 5% more than the home report value with many at much higher levels. 26% In the face of further uncertainty going forward, the Edinburgh’s prime values market is likely to remain consistent, returning to have risen by 26% over the lower supply but still with relatively higher demand, last five years, underpinned particularly as most sellers prefer to find somewhere by a prosperous economy before putting their property on the market. and rising population So, whether you are thinking of selling your home, or buying, renting or letting, we’d be delighted to talk to you.” CAPACITY FOR FURTHER GROWTH Prime values in leading university cities across the UK have exceeded the peak of 2007/08 by almost 25%, whereas in Edinburgh they Ben Fox are 10% higher, underscoring Head of Residential capacity for further growth. +44 (0) 131 247 3736 [email protected]

2 — SAVILLS.CO.UK PROPERTY VALUES ACROSS EDINBURGH Buyer demand across Edinburgh remains strong due to its resilient economy and value for money compared to counterparts south of the border Source: Savills Research using Land Registry and Savills Prime Property Index Property Prime Savills and Registry Land using Research Savills Source:

“The exceptional performance of Edinburgh’s housing Key market since it reopened is reflected in the 50% increase in Average transaction agreed sales, compared to the same period last year. We’ve values in the 12 months also seen a growth of 3.5% in prime values in the year to the to June 2020 Below £100,000 end of September, driven by demand for larger properties £100,000 to £200,000 and more outdoor space, particularly in Edinburgh’s inner £200,000 to £300,000 Faisal Choudhry suburbs. Following a record 196 transactions last year, £300,000 to £400,000 Head of Edinburgh’s million pound market picked up where it left off Over £400,000 Residential Research post-lockdown. There have been 52 agreed sales between +44 (0) 141 222 5880 July and October compared to 34 in the same period last [email protected] year. The market above £2 million is also seeing a comeback, with 14 recorded already this year – the highest January to September total since 2007. This rarefied part of the market is set to grow further as a number of agreed sales, including some over £4 million, have yet to be recorded.”

3 — SAVILLS.CO.UK "There has been an exceptional level of demand for family Trusted advisors homes since the lockdown restrictions were relaxed in We guide our June. This property, to the east of Edinburgh city centre, clients through any is one of the best examples of that. We had agreed a sale challenge to secure on this wonderful Victorian villa prior to lockdown but the best result unfortunately the buyers had a change in circumstances. Jamie McNeill We had 15 viewings in the first nine days of remarketing Associate and received three offers at the closing date – all of which +44 (0) 131 247 3767 were significantly more than had been previously agreed. [email protected] The property was sold to a cash buyer for a price that was 16% over the home report valuation, setting a new record on the street by almost £200,000."

DUDDINGSTON PARK, EDINBURGH Remarketing a property after a sale fell through led to three offers and a record selling price

4 — SAVILLS.CO.UK BRUNSTANE ROAD NORTH, PORTOBELLO A beachfront family home received 35 viewings in the first week of marketing

“We are seeing an increase in buyers moving to Understanding value Edinburgh from elsewhere in the UK, with particularly With over 100 offices strong interest from London-based buyers. Edinburgh across the UK, we property offers value for money when compared to are able to reach a other UK and European cities, and the amenities and wider audience than quality of life are fantastic. One of the best examples of anyone else Ben Fox this is in this stunning beachfront house in Portobello. Head of Residential The property received 35 viewings in the first week of +44 (0) 131 247 3736 marketing, with a mix of local and national interest. [email protected] There were seven notes of interest and the property was sold to a cash buyer based in London for 21% over the home report valuation.”

5 — SAVILLS.CO.UK PALMERSTON PLACE, WEST END, EDINBURGH A virtual viewing led to an offer from a Hong Kong buyer

"Visits to the Savills website reached more than three Globally connected million in August, the third consecutive month where Our use of the latest our year on year growth has been above 100%, leading technology, and our to a record month of enquiries. This exceptional lateral global network of over apartment on Palmerston Place, in the heart of 600 offices, allowed us Edinburgh’s West End, was sold to a Hong Kong-based to achieve an excellent John Forsyth buyer for a significant premium over the valuation after result for both parties Director only one week of marketing. With the buyer unable to +44 (0) 131 247 3709 visit due to travel restrictions, the viewing was [email protected] conducted virtually and an offer was agreed. Our team had built up a relationship with the buyer and gave them virtual guides around a number of properties in Edinburgh before they made their decision."

6 — SAVILLS.CO.UK National coverage Activity influencing the Scottish market

OUR SERVICE REMOVALS TO YOU

The right buyer for your home may already SCOTTISH CHARM live in Edinburgh or the surrounding Throughout May and June, we saw a 70% increase in the number area. Often, we see buyers move from of potential buyers with London- further afield in search of great schools, based home addresses looking for value and green spaces. property in Scotland. Wherever they may be coming from, we’ll 66% help them find your property. Thanks to The proportion of Scottish Savills global network of offices, it will be respondents to our August buyers survey who said a garden visible across the UK and internationally. or outdoor space had become Each of our offices is dedicated to its own more important due to the local market and understands its attraction experience of lockdown. and unique features. And once you’ve sold STRONG ACTIVITY IN your existing property, we’re here to help you THE PRIME MARKETS move on to the next stage of your journey. We have seen a 48% increase in the number of sales agreed Even if you are not looking to move soon, for properties above £1 million we are happy to provide a free appraisal of across Scotland between July and your home. October compared with the same period a year ago.

FINANCIAL BOOM Edinburgh’s economy is expected to grow by 14% by the end of this decade, led by the real estate and professional, scientific and

Source: Savills Research, TwentyCi, Savills buyer & seller survey August 2020 technology sectors.

7 — SAVILLS.CO.UK Savills Edinburgh 8 Wemyss Place Edinburgh EH3 6DH +44 (0) 131 247 3700

Ben Fox John Forsyth Chris Thomson Jamie McNeil Head of Residential Director Associate Director Associate +44 (0) 131 247 3736 +44 (0) 131 247 3709 +44 (0) 131 247 3734 +44 (0) 131 247 3767 [email protected] [email protected] [email protected] [email protected]