Scottish property experts have predicted that fracking in the central belt could hit house prices by up to 10 per cent, according to a survey by The Ferret.
They said that, despite the SNP moratorium on fracking, the prospect of new industrial sites springing up in central Scotland has already become an issue for some potential buyers.
A survey of property professionals undertaken by The Ferret as part of its investigation into fracking in Scotland, has revealed that the majority predict the practice will have a negative impact on house prices.
John Rafferty, director of Kelvin Valley Properties, a firm which covers Scotland’s central belt, predicted a price fall of up to 10 per cent in any area where fracking gets the go ahead.
He said: “It becomes harder to sell a property in those areas and as a result that will have a negative impact, something along the lines of seven per cent, ten per cent, I think that may be fairly realistic.
“It could be a little bit more than that – I certainly don’t think it would be much less than seven per cent.”
Alyson Lowe, managing director of Alexander Taylor estate agency based in Bonnybridge, near Falkirk, also estimated a ten per cent price drop. She said the prospect of fracking is already deterring people looking for homes in the central belt.
“People are not really sure of what the consequences of that being in the perimeter, either under, around, beyond, or close to the property, and then obviously there’s the possible knock-on, or additional health issues as well,” she said.
“I have a had a few clients who are looking to purchase in areas where fracking is going to be taking place and they have not gone ahead with that purchase for that reason.”
Industrial installations, perceived environmental, health and safety risks, and the influx of haulage that comes with shale gas extraction, are factors likely to impact negatively on the property market, estate agents said. Yesterday The Ferret revealed that nine companies had bid for licences to frack for shale under 1,900 square kilometres of central Scotland around Glasgow and Edinburgh.
“If they did start fracking in any particular areas, I think it would affect house prices. People would be nervous about buying property in an area where fracking is taking place – I think that’s only natural,” said Colin Storrie, director of Cailean Property.
“Any industrial installations around an area where there hasn’t been before, definitely would have an adverse effect on the value of the properties in that area.”