GLASGOW'S cheapest flat has gone on the market - with a price tag of just £1500.

Estate agents admit the one-bedroom flat in Caldarvan Street, Hamiltonhill, requires "complete upgrading and refurbishment".

But coming with the news the Bank of England has cut interest rates for the first time in two years, the modern first-floor property could still be a real bargain.

As well as having a spacious lounge, galley kitchen and good-sized bedroom, football fans may be attracted by the location - it's just yards away from Partick Thistle's Firhill ground.

It's also close to the shops, bars and restaurants of the West End, is within walking distance of the city centre and has a small patch of front garden.

However, estate agents Allen and Harris admit whoever buys the flat, on the market for offers over £1500, will face considerable work.

All the windows are boarded up, while the other five homes in the block are unoccupied.

The schedule for the property states: "The property is sold as seen and has been reflected in the initial asking price."

Property experts believe the flat, which was a repossession, could fetch at least £3000, and is likely to attract a number of buy-to-let investors.

The average house price for homes in Glasgow is £134,662.

As reported in later editions of last night's Evening Times, the base interest rate was cut by 0.25% to 5.5%.

The Bank of England's move is expected to boost the UK housing market after a flurry of data pointed to a slowdown in the economy.

Although house prices in Scotland continue to rise - recent figures from the Registers of Scotland said the average price rose by 7.1% in July-September - a rate cut will help to lessen the risk of a sudden downturn in the market.

Mortgage lenders Halifax and Nationwide said they would pass on the rate cut to customers, with others expected to follow.

The rate cut will take around £16 a month off repayments on a typical £100,000 mortgage.

Michael Coogan, director-general of the Council of Mortgage Lenders, said: "A reduction in interest rates is exactly what the market needs and will benefit consumers.

"This will reduce the risk of payment shock for the 1.4million borrowers coming off fixed rates next year."