Guernsey Press

Pressure stays high in rental market with 4.8% rise in Q2

AVERAGE monthly house rents were 4.8% higher than in the first quarter, at £1,864.

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It follows a sharp period of rise over the last five years, when rental prices have risen by 42.3%.

Savills’ residential lettings manager Annie Le Prevost said that that the latest rise was possibly due to the type of properties that were let, rather than price rises generally.

Higher rates of TRP, rising insurance quotes and the expense of routine maintenance work have all put upward pressure on prices, combined with the challenge of stock availability.

‘The number of rental properties available simply does not satisfy demand,’ she said.

Meanwhile, rising interest rates put off many new landlords from entering the buy-to-let market and also made it difficult for first-time buyers to get onto the property ladder, leading to them spending longer in rented accommodation.

There was a particular shortage of one- and two-bedroom apartments and family homes, while more three- to four-bedroom homes have become available and these command a higher price.

Miss Le Prevost said that there continued to be a lot of people relocating to work in the island and that would see competition for rental properties continue.

Among the local market properties currently on offer or recently let in the island is a four-bedroom house in St Martin’s for a £3,500 a month, a two-bed flat in St Peter Port for £1,550, and a two-bed house in St Saviour’s for £2,100 a month.

A single bedroom in a shared open market house in St Peter Port has been advertised for £750 a month.