House prices in Dumbarton, the Vale, and Clydebank plunged by more than seven per cent on average in the past year, according to new figures.

The report reveals flats in the region are worth £20,000 less now than a year ago – and the drop is the steepest in Scotland.

But estate agents in Dumbarton offered a ray of light to sellers, saying demand – if not price – is now on the up.

West Dunbartonshire was one of seven regions to buck the national trend of rising house prices – which hit a record level of around £167,000 across Scotland.

The rise of £1,600 (one per cent) in the past month means prices have now passed the previous peak in May 2008, during the last housing boom.

The average price increase across Scotland was revealed in a report by Your Move/Accadata and was hailed as a ‘recovery milestone’.

But prices in West Dunbartonshire are have fallen from an average of £122,376 in December 2013 to £113,603 last month - which the report blamed on the sale of a small number of expensive homes driving up the price last year.

Christine Campbell, regional managing director of Your Move, said: “As we entered the New Year, we also moved into a new chapter of Scotland’s housing recovery. Thousands of homeowners are finally able to turn their backs on the housing crash, as Scottish house prices break cover from under the clouds of the recession.” She added: “We may have turned a significant corner in the journey back from the financial crash, but we’re nowhere near the finish line. Although a minority, average prices have fallen in seven local authorities of Scotland during the past year.

“West Dunbartonshire has seen the steepest drop in values in the last twelve months, with prices falling 7.2 per cent on average, and flats in the area are now worth £20,000 less than a year ago.” The report revealed that prices of flats in West Dunbartonshire rose this time last year with the sale of three properties for more £350,000, compared to a typical homes in the area costing £70,000.

The ‘exceptionally high valued sales’, which were properties at Helenslee View in Dumbarton, were not repeated this January which led to the fall in average prices.

Estate agents in the town told the Reporter sales have been increasing in recent months.

David Muir, of David Muir Estate Agents, on Church Street, said: “The experience locally with Dumbarton, Alexandria and Balloch is probably similar to what the report is suggesting last year but certainly we are seeing more activity - the first quarter of this year in January, February and March has proved to be more active and we are seeing more buyers.” He said flats were still proving more difficult to sell as first-time buyers in the area tended to jump past them and buy two, three or four bedroom homes instead but said a £20,000 fall in average flat prices seemed ‘dramatic’ and believed there had been drop of 10-15 per cent in Dumbarton and the Vale.

He added: “Demand is up without a doubt over the first quarter. Fragile market that it can be, it certainly looks like that will continue. The changes in stamp duty has definitely helped, that’s a big plus.” Stuart Clelland, manager of Allen and Harris on Dumbarton High Street, said: “What we’re finding at the moment is things are selling quite well - we’ve had a great start to the year - but there’s been no price increases.” He added: “There’s been a slight fall in prices but it’s not huge. People aren’t paying home report value locally but things are selling and that’s great. There’s actually a bit of confidence locally about things.”