The average house price drops by 5% but first time buyers still need help getting on the ladder

Figures released this week show the average local house price has decreased by 5% from the last quarter, 7.6% down on the same quarter last year and 11.5% down on the peak of late 2014.

According to the Guernsey Quarterly Residential Property Bulletin, the average local house price currently stands at £412,792, and coupled with a low loan-to-value rate of 75% – the lowest in years – first time buyers are still struggling to get on the property ladder.

‘It’s encouraging that the number of sales so far this year is up but we need to do something to help first time buyers, and it’s something we’ve been talking to politicians about,’ said Swoffers director Spencer Noyon.

‘According to the Institute of Fiscal Studies, the wealth of people in their thirties is half of what is was a decade ago. Getting a deposit is not as easy as it used to be, and there are first time buyers who want to get on the ladder, but they just can’t do it.

‘We don’t want people to run the risk of negative equity, but we can’t ignore the need for more accessible finance and support.’