The Isle of Man Government has published its annual review of the property market for 2017.
The report, compiled by the Economic Affairs division of the Cabinet Office, provides information about house and flat prices, affordability, the volume of sales and the level of mortgage lending.
Statistics for 2017 show the average price of a property sold in the Isle of Man during 2017 increased by 0.4% to £248,250.
The average house price in 2017 was £268,220 and the average flat price £149,991, while the report also points to a steady increase in the volume of house sales over recent years.
The long-term affordability of housing is measured by showing average house prices as a multiple of average earnings. In 2017 average house prices were 6.77 times average annual earnings. This ratio is lower than it has been for most of the last decade.
The report, published on the Economic Affairs section of the Government website, also looks at the ability of younger people to afford a property.
While the earnings ratio has improved since 2011, the report notes that home ownership remains difficult for individuals aged 25 and under, with significant savings or financial assistance required to get on the property ladder.
Figures for 2017 also show that aggregate lending by Isle of Man institutions to local residents recovered to £1.718 billion, while mortgage debt has reduced by approximately 30% from its peak in December 2009.
Policy and Reform Minister Chris Thomas MHK said:
‘One of the objectives of the Programme for Government is to have affordable and accessible housing that meets the Island’s social and economic needs. The housing market review gathers important information that will build on work currently taking place around planning, population and inter-generational fairness to shape the development of policy.’
He added:
‘Everybody needs a home, whether it’s somebody born in the Isle of Man or those coming here to take up the career and lifestyle opportunities our Island offers.’
