Report predicts 6% rise in house prices by 2021

House prices in Scotland are expected to grow by 6% over the next four years, according to a property forecast.

Affluent areas of East Renfrewshire and East Dunbartonshire will see the biggest increase in prices by 2021 with growth of 23.8% and 22.5% respectively, the Barclays UK Property Predictor found.

Prices in Edinburgh could also grow by 20.2% due to high employment rates, growth in private housing market levels and an increase in average earnings.

The overall Scottish growth of 6% makes it the fifth highest performing region in the UK behind London (11.88%), the east of England (9.38%) the south-east of England (8.74%) and the Midlands (6.28%).

The Barclays research includes analysis of rental trends, employment levels and current house prices to create an index of property hotspots.

Calum Brewster, managing director at Barclays wealth and investments, 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.”