A Dundee estate agent said its house sale prices rose 13% last year with the average city home selling for more than £200,000 for the first time.
RSB Lindsays says the average price of a home sold by its city-based team during 2022 increased to £204,000.
That means buyers in the last 12 months paid an average of £24,000 more than the £180,000 average of 2021.
Chris Todd, partner and head of office at RSB Lindsays in Dundee, said the market was currently resetting amid the cost of living crisis.
He said much of the price rise was down to a lot of offers above home valuations during the spring and summer.
Chris said: “Things were particularly busy during that period, with the impact of Kwasi Kwarteng’s mini-budget and interest rate rises not coming through until later, of course.
“The market – over the course of the year – has performed well.
“It has been competitive at times and I am expecting a good level of demand as we move into 2023, particularly as we edge closer to spring.”
Dundee house prices in 2023
RSB Lindsays experts believe the average house price in Dundee will continue to stabilise, with offers significantly over the home valuation report becoming less common.
The firm says strong appetite remains from buyers and sellers – with hopes that a more stable market in 2023 will create better trading conditions.
Mr Todd added: “Predictions of doom and gloom have not fully materialised and the market has settled down, as we expected it would. Interest rates have already started to settle. Mortgage rates are dropping slightly.
“We do expect a relatively stable market in 2023. Ultimately, it’s important to remember that a balanced market is a good market, particularly if you are a buyer and a seller.”
Registers of Scotland figures show the average price of a property in Scotland in October – the most recent month analysed – was £194,874, an increase of 8.5% on October 2021. Prices rose by 1.1% between September and October.
However, Bank of Scotland data released last week found the average home in Dundee rose 6.4% to £205,869 in 2022.
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