'We need landlords': Tax on second homes not helping rental market, say estate agent

Changes to the way second homes are taxed has "disincentivised" buy-to-let investors in Guernsey, according to an estate agent.

As of last year, islanders who buy a property that won't be their main home, or the primary residence of a family member, pay a 2% higher document duty on the transaction.

Andre Austin, who is Director of Guernsey estate agents Swoffers, says this made it more difficult to be a landlord, and "we need landlords."

He also says rising interest rates have been a factor in investors selling their properties.

"On the one hand, those properties will go onto the market which is good in terms of supply because there are still challenges in supply, but on the other hand we're losing landlords."

This, he says, could make the housing issues on the island even worse.

Want a quick and expert briefing on the biggest news stories? Listen to our latest podcasts to find out What You Need To Know...