House sales on the up - but prices are down

We've come across a couple of interesting stories on the property market, both in Edinburgh and further afield this morning.

It's mixed news for the Scottish capital where house prices have fallen by 5% on average. Having said that, a number of properties are not only retaining their value but have actually increased in price over the past six months. There's also some good news for first time buyers as starter flats in a number of areas are becoming more affordable. Buy-to-let properties have grown in popularity, too, thanks to a strong rental market driven by both students and professionals.

Across the UK, house sales have hit a two and a half year high in February, according to the RICS. The organisation's members have seen sales gradually increasing over the last few months.

We believe the good news are down to a number of factors coming together: potential buyers are ready to snap up a deal now, many potential sellers have re-evaluated their expectations and are willing to accept a more realistic sales price. Crucially, however, the banks have started lending at more accessible rates, bringing mortgages within easier reach of more potential buyers. It's a great start to the year and should mean more good news for potential investors over the coming months.