Using sales data from December 2025 to February 2026, the average selling price rose 2% year-on-year to £292,287. While this represents more measured growth than seen in previous quarters, it reflects a market responding to steadier conditions rather than slowing demand.

Sales volumes were down 6.9% year-on-year, though they remain higher than levels recorded two years ago, indicating underlying resilience. Encouragingly, new listings increased by 2.1% year-on-year, suggesting seller confidence is steady and improving choice for buyers.

Median time to under offer increased by one day to 28 days, while the average percentage of Home Report valuation achieved eased slightly by 0.3 percentage points to 101%. The proportion of properties going to a closing date fell to 17% - the lowest level seen in the past two years - and the number of homes selling at or above Home Report valuation declined to 69.9%. Collectively, these trends point to improving conditions for buyers, with greater choice, more measured competition and increased opportunities to secure homes closer to valuation.

These shifts point to cooling competitive pressure rather than reduced demand. Notably, 86.8% of properties are now marketed using the ‘offers over’ strategy, a 9.1% increase year-on-year, suggesting sellers remain confident in pricing despite a more measured bidding environment.

A clear divergence between property types is emerging. Houses are now selling faster than flats, with a median selling time of 26 days compared to 31 days for flats. Houses are also more likely to go to a closing date (18.9% versus 15.5%) and have seen stronger price growth, with average values rising 2.7% year-on-year compared to 1.4% for flats.

Demand remains strongest for flats in Leith and three- and four-bedroom family homes in Dunfermline. East Lothian continues to perform strongly, with average selling prices rising 10.6% to £297,839. However, competition has eased slightly in the region, with the average percentage achieved over Home Report value falling 1.5 percentage points to 100.6% and median selling times extending by two days to 28 days.

Fastest-selling properties in the region include two-bedroom flats in Craigentinny and four-bedroom houses in Dunfermline, both achieving under-offer status in just 12 days.

Overall, the February report signals a market that is moderating in pace but strengthening in structure, with improved stock levels and more sustainable competition creating healthier long-term conditions.