The Property Market in Jersey - CONVICI CAPITAL

The Property Market in Jersey

Jack Goguelin By Jack Goguelin
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The island of Jersey, nestled in the English Channel, has long been a sought-after destination for high net worth individuals and international businesses. The island boasts breathtaking landscapes, a favourable taxation system, robust legal framework, stable Government, and close proximity to London.

In recent decades, the Jersey residential property market has experienced remarkable growth. This article delves into the fluctuations in house prices, taking into account the impact of the global financial crisis experienced in 2008 and the slowdown being reported in 2023. Additionally, it touches on the significance of Jersey’s legal framework in place for property transactions and the different ways in which property transactions can be financed.

House Price Fluctuations

The Jersey residential property market has undergone significant changes in the past two decades. From 2000 to 2008 the market experienced a period of exceptional growth, with house prices steadily climbing year after year. However, the global financial crisis in 2008 brought about a slowdown in the market. The crisis resulted in a temporary drop in property prices on the island as investor confidence wavered and mortgage availability tightened. The average price of dwellings fell by 5% in a single quarter towards the end of 2008.

In the aftermath of the crisis, the Jersey property market demonstrated extraordinary resilience. From 2010 onwards property prices rebounded steadily, thanks in part to the island’s strong economic fundamentals, which attracted international buyers seeking stability and a safe investment haven. The demand for residential properties surged, and house prices continued on an upward trajectory. At the end of 2010 the average price of a 3-bedroom property was circa £515,000. This rose significantly to circa £900,000 at the start of 2022.

The then UK Prime Minister’s disastrous mini-budget in September 2022 created mass uncertainty in the financial markets and the average cost of a 2-year fixed rate mortgage spiked to 6.65%, a figure not seen since 2008. Since then the UK, and by association, Jersey, has seen spiralling inflation and relentless increases in base rate from the Bank of England. In August 2023 the base rate stood at 5.25%.

In 2023, unprecedented cost of living coupled with high interest rates and limited mortgage availability caused a dramatic reduction of activity in the residential property market in Jersey. There has been more stock available than ever before and this oversupply has resulted in a reduction in house prices when compared to 2021 and early 2022.

The Legal System

One of the main attractions of investing in Jersey’s residential property market is the island’s robust legal system. As a British Crown Dependency, Jersey operates under its own legal framework, separate from that of the United Kingdom (although based on similar principles), providing a unique and transparent legal environment. The island’s laws and regulations offer property buyers and investors confidence and security when conducting transactions.

Jersey’s legal system is rooted in English common law, ensuring a familiar and well-established legal foundation. Additionally, the island boasts an independent judiciary, offering a fair and impartial resolution of disputes. This legal stability has bolstered the confidence of both local and international buyers, contributing to the steady growth of the residential property market.

Financing Property

There are various options when it comes the financing property in Jersey:

  • For loans up to £1m, there are numerous high street banks located on-island that cater to the needs of individuals looking for conventional residential mortgages, be that for investment purposes or for personal occupation.
  • For loans over £1m, and where the borrower meets certain financial criteria, Jersey houses some of the world’s largest private banks who are able to take a pragmatic approach to an individual’s financial circumstances and are able to create bespoke solutions for particular transactions.
  • For complex scenarios, or where there is a need to move quickly, peer-to-peer lending is a convenient option that originated in Jersey. These lenders often have a higher risk appetite when compared to other lenders and usually have a detailed knowledge of the asset class being proposed as security.


The residential property market in Jersey has demonstrated remarkable growth and stability since the early 2000s. Despite the challenges posed by the 2008 financial crisis and the slowdown observed in 2023, the island’s strong economic fundamentals and robust legal system have contributed to the market’s resilience. As the island continues to attract domestic and international investors seeking a safe and profitable real estate market, there remains a great opportunity to earn income for investors coupled with capital appreciation for both investors and home owners, when acquiring real estate in Jersey.

We provide expert support and solutions tailored to the specific needs of property investors. Please do reach out if you require assistance with acquiring or re-financing property in Jersey.