 The average house price in Scotland is about �114,000 |
House prices in Scotland rose by just under 7% last year, providing more evidence that the market is undergoing a measured slowdown, analysts said. The Bank of Scotland's latest House Price Monitor put the average cost of a house at �114,000 - with commuter towns seeing large increases in value.
In the past year, Cupar and Lochgelly in Fife recorded the highest rises in the UK as a whole.
The increases have been attributed to buyers commuting to work in Edinburgh.
'Trend will continue'
Bank analysts said towns in East and West Lothian were the first to benefit from this trend but price rises there had now pushed house hunters into more affordable towns in Fife.
The average price of a house in Cupar rose by 36% to �159,332, while Lochgelly saw the average house price rise by 30% to �84,800.
The survey said only three other towns had average prices below �100,000.
They were Kelty (�86,962), Greenock (�96,181) and Clydebank (�99,640).
The research found that Edinburgh had retained its position as the most expensive city to buy a house in Scotland.
Prices in the capital rose 3% over the year to �184,240. In Glasgow prices were up 7% over the year to �139,931.
Tim Crawford, group economist for the Bank of Scotland, said that Scotland was still outperforming the rest of the UK.
He said: "The housing market in Scotland is undergoing a measured slowdown.
"Annual house price growth was 6.9% in the first quarter of 2006, compared to 23% growth a year ago.
"Despite the slowing price trend, Scotland is still performing better than the UK average and we anticipate that this trend will continue over the course of 2006."
He added: "Scotland's relative affordability is a key positive for the local market."
Property price changes were measured by the bank over the 12 months to March.
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Scotland's relative affordability is a key positive for the local market
