In 2024, Scotland’s property market showed stronger performance compared to England and Wales, trending closer to 2019 activity levels while the latter remained stagnant below pre-Covid benchmarks. Key metrics revealed Scotland’s Sales Subject to Missives (SSTM) volumes were down only 5% versus Q4 2019, contrasting sharply with England and Wales’ 33% decline in Sold Subject to Contract (SSTC) volumes. Completions in Scotland also fared better, with a 13% drop compared to a 37% shortfall in England and Wales.
Key Factors Behind Scotland’s Success:
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Streamlined Processes: Scotland’s efficient home-buying and selling system ensures faster transactions and fewer fall-throughs, boosting market confidence.
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Affordability: With an average house price of £195,000 (versus £306,000 in England), homeownership is more accessible, particularly for first-time buyers.
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Early Solicitor Involvement: Solicitors in Scotland manage offers and bids under Law Society rules, reducing gazumping and delays. Standardised contracts (Standard Missives) further cut transaction times.
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Home Report Requirement: Sellers must provide a Home Report upfront, deterring uncommitted sellers and ensuring transparency for buyers, which builds trust and reduces surprises.
Lessons for England and Wales:
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Streamline Processes: Adopting transparent, technology-supported systems could simplify transactions, reduce delays, and improve efficiency.
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Ensure Stability: Consistent tax policies and affordability measures, like Stamp Duty relief, could boost market confidence and participation.
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Build Confidence: Reducing fall-through rates and fostering trust through upfront seller commitments could enhance market mobility.
Conclusion: Scotland’s housing market offers a proven model for success. By adopting similar practices, England and Wales could unlock significant economic potential, improve housing stock utilisation, and ease pressure on property professionals. Reforms could drive growth in homeownership and create a more efficient, stable market.
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