New research has revealed Scottish house prices have fallen for the first time in eight months.

According to new data released by Your Move, average property prices fell 1% from January, the first monthly dip since June 2015.

With the average price for a house now £168,020, the figures come despite a strong February which saw a 19% rise in home sales since 2008.

However, factors such as the upcoming elections and uncertainty around the EU referendum are thought to have slowed down the top-end of the market.

Christine Bell, MD of Your Move in Scotland, said: "Scottish house prices have taken a small stumble in February, with the value of a typical home falling by 1% (£1,688) month-on-month. The sudden dip in prices will be a welcome reprieve for those attempting to get their foot on the property ladder, as this is the first decline in Scotland’s home values seen in eight months."


While house prices are also down compared to the same period last year, Ms Bell said this has been caused by the introduction of the Land and Buildings Transaction Tax (LBTT) at the beginning of 2015.

"With a flurry of buy-to-let and second-home buyers racing to avoid higher rates of LBTT after 1st April, sales in February are up 19% year-on-year," she said.

"This impetus also meant that purchase activity was concentrated at the lower end of the market – with aspiring landlords snapping up affordable options.

"We can see evidence of this in Edinburgh and Glasgow, where sales of flats – a popular investment choice – have soared in the three months to February 2016. But at the same time, there has been a slowdown at the top-end of the market due to uncertainty surrounding the upcoming Scottish Parliament election and EU referendum, particularly among foreign buyers.

"This imbalance between the volume of cheaper and more expensive property sales is skewing the overall measure of price growth, and tipping it downwards."

(LM)