This morning Statistics Jersey released its report on the House Price Index (HPI) for the final quarter of 2025. This provides us with a clear overview of not only the last quarter, but also for the whole of the previous year.
Property prices
It will come as no surprise that the average property price in 2025 decreased by 1% from that of 2024, save the price of four bedroom houses which saw a small increase.
This reduction caused a small improvement in housing affordability, which produced the uptick in the property market that we all experienced in the latter half of last year, and a recorded 36% increase in turnover of properties (albeit this is compared to 2024 which had the lowest turnover since 2002).
Average property prices for quarter four of 2025
• One-bedroom apartments decreased by £26,000 to £299,000
• Two-bedroom apartments decreased by £27,000 o £496,000
• Two-bedroom houses deceased by £13,000 to £552,000
• Three-bedroom houses decreased by £31,000 to £732,000
• Four-bedroom houses increased by £94,000 to £1,186,000
First time buyers
Again this area of the market showed another decrease by 1% for 2025, compared against the previous year.
Affordability
Affordability remains an issue for those getting onto or climbing the property ladder and again, a working household with mean net income is only able to service a mortgage affordability on the purchase price of a median priced one bedroom apartment and will be unable to service the mortgage on a median priced house or a two bedroom apartment.
Rental market
Rental prices continue to decline and are noted at 1% lower than 2024.
New research in this area has shown that over 95% of private sector landlords in Jersey owned five or fewer rental properties, constituting for 70% of all private sector rental dwellings. It will be interesting to see how these figures change over the forthcoming year given the shed of rental stock by private landlords which many still believe is due to the increasing regulatory impositions in this area – note this figure stands at the sale of 64 of private rental units in 2025.
Financing
The Bank of England base rate held steady at the last review which the monetary committee published last week on 5 February 2026. The rate remains at its lowest level since February 2023 with commentors believing the decision was made to ensure there is no further increase to inflation which was marked at 3.4% (for December 2025), but should be no more than 2%.
Looking ahead
Thus far the market has been busy for 2026. It is expected local mortgage rates may also be subject to a modest reduction in the latter half of this year after the next Base Rate review in March. If this reduction occurs we should see a better environment for purchasers and will give our property market a further favourable boost.
Collas Crill has one of the largest property teams in Jersey. Should you require any advice or guidance on buying or selling property in, please contact the team on 01534 601700.
