Scotland’s prime housing market consistently demonstrates a resilience that sets it apart from other parts of the UK.
Faisal Choudhry, Director, Savills Residential Research
Scotland's prime market is entering 2026 from a position of relative strength. This is due to a combination of robust sales activity, steady price growth, and broad-based buyer demand. As mortgage rates ease, we expect this resilience to translate into renewed activity across a wide range of markets.
The introduction of two new council tax bands for properties above £1 million from 2028, as announced in the Scotland Budget, will affect just 0.4% of Scottish housing stock. While the move maintains stability for the vast majority of taxpayers, it will be less welcome among homeowners in high-value locations. But the changes could create stronger incentives for older homeowners to downsize, while some heavily mortgaged owners of high-value homes may also consider moving to lower-value properties. Nevertheless, the Budget has provided clarity, enabling buyers and sellers to move forward with confidence into the forthcoming spring selling season.
Indeed, our latest survey of prime buyers and sellers south of the border following the UK Budget shows a shift in confidence, with a net 12% more people now committed to moving over the next two years. However, economic uncertainty is likely to keep short-term price growth in check. As a result, pragmatism will be key to securing a successful sale.
Read more about our latest five-year prime forecasts here.
Prime regional forecasts for 2026–2030
Whilst uncertainty in the run-up to the UK Budget last year impacted market confidence, Scotland bucked the trend. Here, the number of prime net agreed sales at £500,000+ during Q4 2025 increased year-on-year by 11%, compared to a -5% drop in regional markets outside London, according to data provider TwentyCi.
Meanwhile, buyer and seller expectations on price continue to align, with a -14% annual drop during Q4 2025 in the number of £500,000+ available properties that reduced their asking price.
With demand outpacing supply, the level of available £500,000+ stock at the end of 2025 was at its lowest in nearly two years. But as the spring market gets underway, available stock is expected to increase, which will keep prices in check.
Whereas prime Scotland prices were level throughout 2025, they continued to drop in prime regional locations outside London. That said, price falls slowed towards the end of last year as changes to the taxation of high-value homes in England were better than feared. According to the Savills prime index, prices outside London fell by -0.6% in the three months to December.
Prime properties in Scotland’s cities and towns saw a 0.8% year-on-year increase in Q4 2025, compared to a -0.5% drop in village and rural areas. With high build costs suppressing the market for properties that need refurbishment, prices for modern homes increased year-on-year by 1.1%, with no price change for period properties.
Despite prime Scotland’s resilience, the very top-end remains price sensitive, with the rarefied country house market witnessing a year-on-year -1.7% drop during Q4 2025.
Edinburgh City was the strongest regional market in the UK during Q4 2025, with prime prices increasing year-on-year by 2.1%. Here, supply and availability remains constrained, impacting £500,000+ agreed sales activity. However, family home markets bucked the trend, led by Colinton and Ravelston.
Supply was also constrained in prime country markets outside Edinburgh and Glasgow. However, the number of prime agreed sales increased, led by St Andrews and East Lothian’s coastal hotspots and Argyll, Helensburgh, and Stirlingshire in the west. But while prime prices in the east were level, there was a dip in country markets around Glasgow.
Prime prices in Glasgow’s urban markets also dropped slightly in the three months to December 2025, with an uplift in supply and availability. Whilst this did not translate into an overall increase in agreed sales, Milngavie in the north and Newlands and Giffnock in the south side bucked the trend.
The prime Perthshire market was largely steady towards the end of last year in terms of demand, supply and price growth. The market was led mainly by modern, energy-efficient homes up to £1 million in areas within 20 miles of Perth City.
Prime prices in Angus, Dundee and southern Kincardineshire were also steady. Although supply and agreed sales were slightly down, Broughty Ferry and western parts of Dundee City outperformed.
Aberdeen area prices have been largely stable as available stock has fallen to a two-year low. Meanwhile, Aberdeen’s prime city and suburban markets witnessed more supply and agreed sales in Q4 2025, particularly in the catchment areas of top-performing schools. However, the prime Aberdeenshire rural market and activity above £1 million remains subdued.
< View our latest Q4 2025 updates here.
For more information, please contact your nearest Scotland office or arrange a market appraisal with one of our local experts.