Property prices in Jersey have increased dramatically in the past decade. While there have been some year-on-year fluctuations, without exception, houses and flats of various sizes have continued to appreciate over the past ten years.
Overall, given the competition for property in Jersey and considering that there is more demand than supply, being in a position of liquidity is essential when it comes to buying property. Securing a mortgage offer in Jersey from a lender quickly is imperative to ensuring that the process moves as fast as possible, and lending isn’t overly burdensome, more time-consuming or stressful than it needs to be.
Generally speaking, the mortgage application process in Jersey is similar to that of the UK, although you will, of course, need to ensure you are eligible to buy a home on the island. Base rates for Jersey mortgages are connected to Bank of England rates and are regulated similarly to UK mortgages.
Depending on your profile, private banks (both UK-based or international) and alternative lenders may offer the most competitive rates and terms for a Jersey mortgage. You may also find that these parties can provide finance that is more flexible and tailored to your situation than high street lenders. No early repayment fees, high loan-to-value mortgages, or interest-only mortgages can be on the table depending on your assets, profile and the package you opt for. In contrast, these options will typically be out of the reach of Jersey’s mainstream lenders.
When it comes to rates for a Jersey mortgage, what you will pay will depend exclusively on your situation. Generally speaking, the more you borrow and the more risk there is for a lender, the higher your interest rate will be. Low loan-to-value finance or mortgages for highly liquid individuals tend to be at the cheapest end of the scale. Whatever your situation, however, Enness will be able to secure you the most competitive finance package for your personal scenario. We help a good number of incoming HNW clients plus also bring extra options to the local residents market.