‘Bruised, but not property crunch time’

Thursday 10th April 2008, 2:29PM BST.

THE credit crunch is having an impact on the local housing market.

But there is no sign of the collapse in prices which has been reported in parts of the UK. ‘I believe that confidence is bruised here because of the credit situation in the UK, but I think the long-term future will be fine,’ said Charman & Co. proprietor Steve Charman

‘A lot of first-time buyers are struggling to get sufficient finance from the banks. ‘I don’t think it’s a property thing, but a series of things that have happened at once, such as zero-10, the credit crunch and a slowdown in the UK property market, which is causing a unique imbalance.’

View more: Credit Crunch news, First-time Buyers news, Guernsey Property news, Housing Market news.

1
Guernseyman

April 10, 2008 at 8:20 pm

Steve Charman I think that you are burying your head in the sand here. The Banks in Guernsey borrow money at the same rates as the UK and mortgages are related directly to the bank Rate. When as in Guernsey confidence is so high that loans of up to 8 times salary are given, when the crunch comes as it definitely has, the affect is going to be relative. Developers you will find will have property that they cannot sell and first time buyers will need deposits similar to the uk. And 10% of stratesphoric prices means that a house is out of reach of anybody save the extremely well off.

Report abuse