House prices in Glasgow’s suburbs set to rise by almost a quarter in next five years

Glasgow’s suburbs are predicted to see the largest increase in average house prices in Scotland by 2021 according to new research released today.

The Barclays UK Property Predictor suggests that prices in affluent areas in Glasgow’s outskirts, East Renfrewshire and East Dunbartonshire, are set to rise by almost a quarter (23.8% / 22.5% respectively) over the next five years. Hot on its heels is City of Edinburgh (20.2%) and Scotland’s central belt hotspot, Stirling (19.1%).

Over the next five years, high employment rates, growth in private housing market levels and an increase in rates of average earnings will contribute to rising property prices across Scotland. The country is expected to see an overall average increase of almost 6% across the next five years, making it the fifth highest performing region across the UK, behind London (11.88%), East of England (9.38%) the South East (8.74%) and the Midlands (6.28%).

Intended to highlight investment hotspots, the report uses factors including rental trends, employment levels, commuter behaviour and current house prices to create its index. It also surveyed high net worth investors from across the UK to determine where they plan to purchase property in the future.

Calum Brewster, managing director wealth and investments for Barclays in the north, said: “It’s encouraging to see that property is still viewed as an important part of the investment portfolio in Scotland with high net worth investors typically owning three properties and over a quarter planning to buy property because they believe that it offers long-term investment security.

“There is also increasing confidence among property investors in Scotland, as many are taking a long-term view when it comes to putting money into property. It’s also interesting to see from our research how investment prospects are emerging outside of the established property heartland of London and the South of England into Scotland, with economic growth and employment opportunity fuelling growth in hotspots across the UK.

“We are here to support our clients at various stages of their investment journey and we can help by offering a range of innovative and personalised mortgage solutions to meet their individual needs, whether they are a seasoned investor or a millennial looking to increase their income.”