17 August 2023
Today (17 August 2023), Statistics Jersey published the Q2 House Price Index report for 2023.
In response to the key findings of the report, the Minister for Housing and Communities, Deputy David Warr has issued the following statement:
"Statistics Jersey has today released the Q2 2023 House Price Index, which continues to demonstrate a slow-down in Jersey's housing market, being largely driven by the rise in mortgage interest rates being seen because of the Bank of England base rate hikes.
"The report shows that we have seen an overall reduction of 1% in the market, and the average price of a home has reduced by 4% since the previous high point seen in Q3 of 2022. Some reduction in house prices is good news for first time buyers in Jersey, but of course any long-term and sustained reductions will be a concern, particularly for existing homeowners.
"As we continue to see very low numbers of transactions taking place, we should expect to see further downward change in prices over the coming months, reflective of the adjustment already being seen in advertised sales, and feedback I have received from the industry.
"My greatest concern at this time is the low level of activity being seen in the market, which I appreciate will be particularly frustrating for those who are trying to move home, and for those in the property sales industry.
"I have been working with fellow Ministers over the summer to develop a workable and sustainable scheme to help Islanders into home ownership, and which I also hope will help stimulate movement in the market. An announcement on this will be made in September.
"More broadly, I appreciate the continued increase in the Bank of England base rate will be adding to the concern of existing and prospective homeowners in Jersey. I am continuing to monitor this situation carefully, and remain in regular contact with the Chief Economist and the Council of Ministers on the matter."
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