Cost Of Expat Housing Falls In Guernsey

By ExpatBriefing.com Editorial 15 August, 2012

The cost of housing for expatriates seeking residence in Guernsey has fallen by 6.2% year-on-year, according to the government's latest quarterly residential property prices bulletin.

In Guernsey, there are two markets for real estate, segregated between housing available to residents, the local market, and housing available to expatriates, the open market. Open market housing can be purchased by individuals not resident in Guernsey, albeit at a significantly higher cost than other island equivalents. Prices are driven however by the requirement that those requesting to live and work in Guernsey must obtain a housing license.

According to the government's latest bulletin, the median price of local market transactions was GBP418,000 in Q2 2012, up 4.1% year-on-year, and 31.5% higher than the same quarter of 2007. Meanwhile, the median price of the twelve open market transactions in the second quarter of 2012 was GBP1,027,500, compared to the GBP1,414,375 median in the second quarter of 2011 when there were six transactions.

For the full year, the average price of realty transactions on the open market fell by 6.2%, from GBP1.12m in Q2 2011, to GBP1.05m.

Transaction levels both in the open market and local market remain depressed in comparison to market activity in 2010. There were 232 local market transactions during the second quarter of 2012, compared to 252 in the second quarter of 2011.

Since March 2011, the government has published quarterly residential property price bulletins to improve transparency and government monitoring in relation to house prices and the availability of affordable housing for expatriate workers. In 2011, the open housing market accounted for 9% of the domestic housing market.

Tags: Individuals | Expatriates | Tax | Investment | Business | Financial Services | Real-estate | International Financial Centres (IFC) | Guernsey | Offshore | Professionals | Services |

 





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