According to the latest research from Savills, confidence in the Scottish estate market is continuing to build in 2017 following the most active market in a decade last year.
The market for estates in 2016 saw a total of 26 estate sales at a combined total asking price of £90 million: this included some significant and notable deals.
Savills rural agency Director, Evelyn Channing said: “We believe terms have been agreed on seven estates so far this year, amounting to 37,000 acres with an accumulated asking price of around £45 million, including three sporting estates”.
Savills research indicates that ten estates have so far been launched on the open market this year, amounting to more than 40,000 acres with a combined asking price of £40 million; these include four sporting estates and two mixed estates including Barvas and Ashiestiel, both being marketed by Savills.
Evelyn Channing added: “There has been a notable uplift in the number of buyers making enquiries and viewing properties, in addition to an increase in the number of deals being struck on a private basis.
“We are seeing foreign interest being spurred on by favourable interest rates, following the Brexit vote, making Scottish estates stand out as exceptionally good value. We are continuing to see an upturn in interest from English buyers (in 2016 62% of buyers were from the UK), most likely due to the fact that talk of a second Scottish independence referendum has been put on the back burner for the time being.
“Compared to other opportunities across the globe, a Scottish estate is considered to be a secure investment and represent outstanding value for money. Buyers continue to be attracted by Scotland’s scenic landscape and the excellent sport on offer.
“Despite the levels of wealth being invested in to Scottish estate properties, we are seeing a growing appetite for those properties that can pay for themselves. This is often through diversified income streams, such as surplus sporting, forestry, renewable, leisure and tourism opportunities. The estates market is niche, driven by the chance of a once in a lifetime opportunity to acquire an estate that meets individual aspirations. As a result, values of sporting estates in particular have been stable throughout the downturn which affected the residential market from 2007.
“The debate which has been ongoing around Scottish independence is no longer at the forefront in the decision- making process and Scotland is now firmly back on the shortlist of wealthy buyers”.