House prices in Glasgow
Throughout 2016, there has been a great deal of uncertainty in property markets right across the UK, and the market in Glasgow has been no exception. Much of the doubt has been linked to the build-up to the Brexit vote in June, although that doubt has continued to linger in the wake of the decision to leave the European Union. Where this takes the property market in the UK in general and Glasgow in particular remains to be seen.
The unfortunate truth for those looking to buy a home is that, despite the uncertainty, property prices in Glasgow have continued to rise slowly and steadily. Buying a house or flat in Scotland's largest and busiest city remains a major investment, and it's often the case that obtaining a deposit remains beyond the financial means of a sizable proportion of the population.
Renting is still the preferred option for many people in the city, in part because doing so represents good value for money when compared with other Scottish cities. The cost of flats to rent in Glasgow remains far cheaper than those in Edinburgh, for example, and average prices are lower than in Aberdeen and, perhaps most significant of all, in the whole of Scotland as an average.
Renting is an attractive proposition for everyone these days
Potential buyers in Glasgow are at a distinct disadvantage when compared to renters these days, in part because local property prices rose dramatically in both 2015 and the early part of 2016. The same scenario played out in other Scottish cities as well as in several others in the north of England. The main reason for this development is thought to stronger, more stable economies.
While the cost of houses to rent in Glasgow has risen over the past two years, the size of the increase is smaller than the rise encountered by buyers. All of these factors have combined to create a rental market that continues to flourish, leaving potential tenants with a wonderful choice of properties in all parts of the city, including the iconic centre.
Over the past few years, the cost of borrowing money in the UK has remained extremely low, as interest rates continue to stall. This has led to an upsurge in the number of people who are applying for mortgages, and this sudden influx of new buyers has also contributed to the continuing increase in property prices, as vendors are able to reap the benefits of an active market containing lots of purchasers.
The doubts and uncertainties could continue for some time to come
Given the continuing post-Brexit uncertainty and the ongoing low interest rates, it's perhaps safe to assume that the rental market in Glasgow will carry on in a similar vein for some time to come. The financial attractions of renting, allied to an improving job market and the annual influx of students into the city, all help to make the rental scene a vibrant and exciting one.
Just as in all major cities, some areas of Glasgow will be more expensive for renters than others. Those neighbourhoods which play host to a sizable student population may be cheaper than the more tranquil suburbs, perhaps, and the very centre of the city, with its teeming nightlife and wonderful selection of entertainment options, will often prove to be a little more costly than other locations.
The one thing you can be sure of is that you will have a comprehensive range of options when the time comes to find a property that matches your needs. Glasgow has a superb selection of homes, from cosy apartments overlooking the Clyde to high quality town houses nestled in quiet residential suburbs. And there is a pleasing mix of familiar Victorian buildings and brand new developments to choose from.
If you are thinking about moving to this eclectic city in the West of Scotland, be sure to speak to the experts first. Here at Citylets, we know how important it can be to find the right home in the right neighbourhood at the right price, so give us a call today to find out more about the benefits of renting a property in an exciting metropolis.