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EXPERT ADVICE
2025:
Predictions In terms of the property market itself, I think we will continue

for the year ahead
to see a healthy supply of stock coming onto the market, which
is great news for those thinking about moving home.
ESPC’s CEO, Paul Hilton, shares his thoughts on what we might see
over the next 12 months.

024 was certainly an interesting year The rise in available stock also means
for the Scottish property market. Dunbar more competition for sellers, but again,
2 After a tumultuous period for almost homeowners seem to be confident in the
everybody’s finances, the market picked up market anyway – something I hope we’ll
spectacularly towards the second half of the continue to see. We’ve certainly seen huge
year, and at ESPC we saw huge increases in upticks in homeowners choosing to list their
both property listings and property sales. properties for ‘offers over’ rather than at a
fixed price, which suggests strong faith in
It just goes to show that we can never be their home’s ability to secure a ‘good’ price
truly sure of what will happen; we expected at sale.
to see a drop in volumes across the board,
and mortgage interest rates to drop in May - In 2024, we’ve seen strong levels of activity
neither of which were the case. However, we from first-time buyers, which I believe is
were correct that more properties would begin partially fuelled by the stagnation of the
to come onto the market, and buyers would rental market. An ongoing lack of stock
be able to secure them for much closer to the alongside high rents could be the reason
Home Report valuation, which was certainly for many would-be tenants to decide to
the case throughout 2024 (currently buyers take the leap and buy a home instead,
are paying around 102% of the Home Report especially now the base rates have been
valuation on average). lowered. It is my belief that if the lettings
market continues in the same vein in 2025,
On that note, it’s an excellent time to look However, I do believe we will see some I predict that property sales will continue to we’ll continue to see more young people
ahead to 2025... further reductions in interest rates in 2025. be strong, although again, the levels reached taking their first steps into the property
How low they could go is difficult to call. will depend on how the public feel about the market and purchasing their first homes.
I do have concerns regarding recession and economic environment. Sellers have become
stagflation; there is a world where inflation In terms of the property market itself, I think very accepting of the general reduction in the Despite my expectations that there may be
does increase a fair bit, as businesses try to pass we will continue to see a healthy supply premiums paid over and above Home Report a few hurdles or difficulties along the way,
on the rises in minimum wage and National of stock coming onto the market, which is valuation for their properties, after years of I do firmly believe that Edinburgh and its
Insurance contributions brought in by the most great news for those thinking about moving being able to command anything between surrounding areas, especially Dunfermline
recent UK Government’s Budget. This could home. I don’t think that the levels will quite 10-20% as standard, which means that they’re and the more affordable towns and
unfortunately be bad news for the economy, as reach 2024’s, but that depends on the more likely to act in the moment and list their villages of East Lothian and Midlothian,
prices rise while money remains tight for the overall economy; it’s more likely that people properties when they feel the time is right will continue to attract extremely strong
average consumer – all of which isn’t exactly will choose not to act if there is major for them, rather than waiting for the market interest from buyers, not just in Scotland
good news for the property market. economic uncertainty. to improve. but further afield too.

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