New figures have shown that house prices in Aberdeen have fallen – despite rises recorded across the rest of the country.
Leading property firm Zoopla has released its new UK House Price Index for August 2020, which shows that house prices in the UK have grown by an average of 2.6% year on year.
While cities such as Edinburgh saw a 3.7% increase on the annual change in house price, and Glasgow saw a 2% increase on the same figure, the position in Aberdeen was markedly different.
According to the figures released by Zoopla, Aberdeen saw a fall of 0.6% on house prices compared to the same time last year.
The data is based on repeat sales-based price index using sold prices, mortgage valuations and data for agreed sales in order to track the change in pricing for homes across the UK.
The house price index shows that for last month, the average house price in Aberdeen was £144,700.
This represents a 0.6% fall year on year, and a 4.9% fall between August 2018 and August 2019.
It compares to an average house price across the UK of £218,300.
The firm also added that it doesn’t expect much change in current trends for the rest of 2020, although it added that a watchful eye should be kept on the increase of new supply, and its pricing.
Richard Donnell, research and insight director at Zoopla, said: “Housing market conditions remain strong as new restrictions are introduced to control the spread of Covid.
“These changes are likely to continue to support housing demand in the near term as the importance of the home grows. However, the housing market will not remain immune to the impacts of weaker economic growth and rising unemployment.
“A change in the mix of buyers is supporting market conditions with sustained demand from equity-rich existing owners seeking more space and a change in location. In contrast, first-time buyer demand is weakening.
“First-time buyers have been a driving force of housing sales over the last decade. They remain a key buyer group but lower availability of higher loan to value mortgages and increased movement by existing home-owners means a shift in the mix of home buyers into 2021.”