Kelvingrove park area of Glasgow [credits: Sherrivokey]
The new Lloyds TSB Scotland report showed that property prices have risen in the last quarter ending July 2008. In total they went up by 1.6 per cent, which brought the average house price to £172,185.
However, despite this increase in property worth, the actual number of house purchases has dropped 27 per cent since last year.
Chief economist at Lloyds TSB Scotland, Professor Donald MacRae said: “The price boom of the last five years may well have passed into history but so far the effect of its demise is to slow the number of transactions rather than cause a drop in prices.
The Scottish housing market is demonstrating its traditional resilience in the face of an economic downturn.”
