In the UK this week, the Bank of England announced a cut in the base interest rate from 0.75% to 0.25%, an all-time low, as an emergency measure. This could have a profound effect on Jersey’s already booming property market.
A reduced interest rate is designed to encourage borrowing and this has a knock-on effect on the appeal of mortgages. If a mortgage is suddenly a more affordable proposition then people will be more inclined to take one out and make that property purchase. The Jersey property market reported average price rises once again in 2019 but buyers are not being deterred, and nor should they be.
Demand is so high that we’re barely able to list properties on our state-of-the-art website before they are being sold. This is testament to the level of client service provided by our award-winning team, who are able to match the properties with waiting buyers almost immediately, and demonstrates just how much demand there is.
In recent weeks we have taken steps in the face of the Coronavirus threat, and you can read about the precautions we have put in place here. The wellbeing of our employees, associates and clients is our absolute priority, and you can be assured that health and safety has our complete attention.
Current advice is pragmatic and allows us to carry on meeting and serving our clients so long as it is safe to do so. The market was busy before, but the reduction in interest rates is yet another factor that will influence the demand to buy.
It’s a sellers’ market at the moment so now’s the time to get in touch with our team and list your property for sale.