Select a region
Savills Head of Residential Sales and Lettings Manager have shared their thoughts on the latest property bulletin data published by the States.
Stuart Leslie, Head of Residential Sales at Savills Guernsey, said: “The housing market took a little longer to get going this year and the latest figures show some of the hangover from 2023 – with the rise in the cost of living and increase in mortgage rates still having an effect.
However, after what feels like a long winter, we’re now beginning to see things warm up as we enter what is traditionally the most popular time of year to buy and sell a home.
Pictured: Stuart Leslie, Head of Residential Sales at Savills Guernsey.
The markets are still relatively price sensitive – and finance remains a key consideration – but greater stability in lending costs alongside a slightly improved economic outlook seems to have encouraged a greater degree of activity. Buyer commitment has improved, budgets are slowly showing signs of picking up and buyer registrations are ahead of where we expected. The more optimistic outlook has prompted Savills to upgrade its forecasts for UK house prices, which are now expected to grow 2.5% in 2024. The markets here in Guernsey are obviously very different – but as confidence grows across the English Channel that may well translate to greater activity over here as well. It will, of course, take time for renewed confidence to translate into completed deals – so we may not see that reflected in the figures until the end of quarter two or quarter three – but the Guernsey housing market relies heavily on mortgage lending, so the predicted softening of those rates may well lead to some green shoots of growth.”
Lettings Manager Annie Le Prevost said: “Much like residential sales, the lettings market has shown recent signs of picking up for summer. The year started out strong, with a slight lull in March/April – perhaps triggered by the Easter Bank Holiday and people taking extended breaks.
Pictured: Annie Le Prevost, Lettings Manager at Savills.
That being said, demand remains incredibly high – driven by a continued lack of stock, while prices now appear to be relatively stable, and not decreasing to any great extent, especially since the start of the year. Of the properties that are available, there is a good mix, ranging from one and two-bedroom apartments to three and four-bedroom family homes. This is always a good sign and hopefully bodes well for the months ahead. With interest rates coming down slightly, it may also encourage first-time buyers in rented accommodation to take a step onto the property ladder, which could well free up rental properties at the lower end of the market.”
