Scotland's housing market has fallen into line with the rest of the UK, Clear Property Investment has learned.

The most recent study by the Royal Institution of Chartered Surveyors (RICS) shows house prices have been falling north of the border like their southern counterparts.

Statistics from chartered surveyors around the country showed 58 per cent reported house prices as 'stabilising' 35 per cent reported a decrease and only seven per cent said in their experience prices had risen.

But it's not all doom and gloom - future sales are expected to rise.

Sarah Speirs, RICS Scotland deputy director said: "Scotland had been bucking the trend in the last couple of months in terms of falling house prices - up until this month. What we are seeing now is the Scottish market falling into line with the rest of the UK.

"The general uncertainty over the recently announced budget cuts and looming public sector unemployment are impacting on the market."

Ms Speirs attributed the situation to the lack of mortgage finance availability and time of the year.

Meanwhile sellers have been forced to reduce costs with some reducing the original asking price by as much as 30 per cent. The average reduction is around six per cent.

Commercial director of Zoopla.co.uk, Nicholas Lemming said: "For the past few months, asking prices have been somewhat out of kilter with what buyers are prepared or can afford to pay. But sellers are becoming increasingly realistic."

This is due to lack of demand with tough mortgage stipulations in place. First-time buyers, for example, are now expected to come up with a 25 per cent deposit by most mortgage lenders. They, together with current property owners hoping to remortgage, are also expected to have a 'perfect' credit history.

Meanwhile the fall in property values contrasts with a general picture for Glasgow, reported by website FindaProperty.com which claims property in Glasgow is worth a total of £73.9billion with the average property valued at around £151,000 - a difference of 0.3 per cent compared to the same period last year. In Edinburgh the news is gloomier with a drop of 9.5 per cent for the city's property values.

The website's analyst Nigel Lewis said they believed their research was the best way to track the full impact of fragile house prices.

"Looking just at specific property types or particular parts of a city can be misleading," he said. "These can vary wildly within the same place. Taking the overall value of properties gives a fuller picture."

For further information on property values and the current housing market contact our Clear Property Investment team.

View other news from November 2010