Scotland’s Prime Homes Defy Wider Market Slowdown as Q4 Demand Outpaces Supply

EDINBURGH, Jan 19 — Scotland’s prime housing market held firm at the end of 2025, with sales activity and buyer demand outperforming other UK regions despite uncertainty around the UK Budget, according to new data published by Savills.

Savills said Scotland entered 2026 “from a position of relative strength” supported by “robust sales activity, steady price growth, and broad-based buyer demand.” It noted that upcoming tax changes for homes above £1 million, due in 2028, would affect just 0.4 percent of Scottish stock.

Prime agreed sales at £500,000 and above rose 11 percent year on year in Q4 2025, according to data provider TwentyCi, contrasting with a 5 percent drop in regional markets outside London. The report said Scotland “bucked the trend” as available stock fell to its lowest level in nearly two years.

Buyer and seller pricing expectations aligned further, with a 14 percent annual decline in the number of high-value homes reducing asking prices. Savills said supply was expected to increase as the spring selling season begins.

Prime values across Scotland remained broadly flat in Q4. Quarterly price movements were recorded at minus 0.2 percent for cities, towns, and villages, minus 0.3 percent in rural areas, and 0.0 percent for Scotland overall, according to the Savills prime regional index. Annual growth was strongest in cities at 1.3 percent, while Scotland overall posted no annual change.

Edinburgh was the strongest-performing UK regional prime market in Q4 2025. Prices in the city increased 2.1 percent year on year, supported by limited supply and continued demand in areas including Colinton and Ravelston. Supply constraints extended into country markets around Perth, St Andrews, East Lothian, Argyll, Helensburgh, and Stirling.

Modernised homes saw an uplift, with prices for such properties rising 1.1 percent year on year in Q4, while homes needing refurbishment remained price-sensitive. Prime city and town properties recorded 0.8 percent annual growth, compared with a 0.5 percent drop in village and rural locations.

The report said Perthshire’s prime market ended 2025 “largely steady” in demand and pricing, led by modern, energy-efficient homes up to £1 million within 20 miles of Perth. Prices in Angus, Dundee, and southern Kincardineshire were also steady, though Broughty Ferry and western Dundee outperformed.

Aberdeen’s city and suburban markets saw higher supply and agreed sales, particularly in school-driven catchments, while the rural Aberdeenshire market and activity above £1 million remained subdued.