House prices in Jersey have risen four per cent in the past year, taking the average price of property in Jersey to £468,000. This is the third annual increase in property prices.
The latest figures show a 12 per cent increase in the total number of properties sold in 2016, with 1,410 transactions – the highest amount since 2006.
Three- and four-bedroom houses saw the highest mean prices for these types of property to date. The price of three-bedroom houses increased by an average of £17,000 from Q3 2016 to Q4 2016, to £513,000, while the price of four-bedroom homes increased by £21,000 to £748,000.
Lorraine McLean, Mortgage Sales Manager at Skipton International, said: “The housing market was very busy last year so it’s no surprise to see that volumes are up this much.
“We suggest that a growth rate of RPI plus one per cent would be ideal for a sustainable market that ensures property ownership remains within reach of more islanders.
“A four per cent rise is slightly above this and it’s important that house prices don’t accelerate more rapidly than earnings as this will not be in the long-term interests of the property market.”