Wednesday 13 February 2013
The mix adjusted average purchase price for local market property was £442,508 in the fourth quarter of 2012, 0.9% higher than the same quarter of the previous year.
Dr Andy Sloan, States Economist said:
"The latest figures point to continued softening of the local property market over the last quarter of the year - this is unsurprising given the subdued economic conditions experienced during 2012. Prices remained fairly flat and volumes of transactions for the fourth quarter were slightly weaker than a year previously. Looking forward, we should see a slight increase in both transaction numbers and the rate of property price inflation later in the year if economic conditions improve towards the middle of the year, as is the current forecast. However, given high relative prices (to earnings) and limited potential for real earnings growth in the short term any pick up in general conditions is unlikely to see a return of rapid rates of house price growth as experienced just a few years ago.
