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Home ownership in Jersey is becoming gradually more affordable, new stats have shown – with an increase in average earnings combining with a record annual drop in prices last year.

Published today, the latest House Price Index for Q4 2024 showed the average price of a home in Jersey fell 8% over the year to £589,000 last year compared to £636,000 in 2023.

It’s the largest annual decline since records began in 1986.

While some property types saw price increases in the final quarter of 2024, overall housing market activity remained 23% lower than the same period in 2023.

Property turnover remained historically low, with 2024 seeing the lowest annual turnover since at least 2002. Sales of flats in particular fell by 42% compared to 2023.

Pictured: How mean average prices have changed over the years.

First-time buyer activity increased significantly, accounting for 29% of property purchases – an 11 percentage point rise from Q4 2023, aided by higher stamp duty thresholds for first-time buyers.

Meanwhile, affordability slightly improved, as falling property prices combined with a 6.4% increase in average earnings, making homeownership more accessible for some.

Despite this, Q4 2024 saw a slight quarterly increase in transactions, with the total number of property sales rising 7% compared to Q4 2023 and 9% from Q3 2024.

Prices in a nutshell

The latest figures show a mixed picture across different property categories during the quarter:

  • 1-bedroom flats: £337,000 ⬆ £31,000
    This was the only category to rise annually, increasing to an average of £337,000, up by £31,000 from the previous quarter.
  • 2-bedroom flats: £550,000 ⬆ £43,000
    Prices climbed £43,000 from Q3 2024, reaching £550,000, despite an overall annual decrease.
  • 2-bedroom houses: £595,000 ⬇ £23,000
    Prices dropped by £23,000 in the quarter, bringing the average to £595,000.
  • 3-bedroom houses: £752,000 ⬆ £3,000
    This category remained relatively stable, recording a modest increase of £3,000, to £752,000.
  • 4-bedroom houses: £1,031,000 ⬇ £96,000
    These saw the largest quarterly decline, dropping £96,000 to £1,031,000.

“Property prices in Jersey have seen four periods of strong growth during the last four decades, with peaks in the annual rate of increase occurring in 1989, 1998, 2008 and 2021; each of these years recorded annual price increases of 16% or higher,” Statistics Jersey, which compiles the quarterly Index, observed.