In a new regular feature on Island Echo, Charlie Panayi, CEO of Red Squirrel Property Shop, gives a monthly update on the Isle of Wight’s property market…
As someone who lives and breathes the Isle of Wight property market (and international), I know how important it is to stay ahead of the trends. Whether you’re a homeowner, landlord, tenant, or investor. That’s why I’ll be sharing a monthly market update, breaking down the key changes in both the sales and lettings sectors.
My goal? To give you honest, no-nonsense insights so you can make the best decisions for your property journey.
Let’s get into this month’s update…
Sales Market: Prices Continue to Adjust
The current average house price on the Isle of Wight is £296,151, reflecting a 1.08% drop month-on-month (MOM), a 7% decline year-on-year (YOY), and a 5% decrease from the 2022 peak.
A breakdown by property type shows:
🏡 Detached homes: £431,366 (-12% YOY, -8% on 2022 peak)
🏠 Semi-detached homes: £277,137 (-2% YOY, -6% on 2022 peak)
🏢 Flats: £159,635 (-9% YOY, -11% on 2022 peak)
The market is adjusting after the highs of recent years. Buyers are being more selective, meaning sellers need to be realistic with pricing and ensure properties stand out. That said, well-presented homes in sought-after locations are still selling quickly.
Lettings Market: Demand Driving Rents Up Still
While sales prices have softened, the rental market remains strong. The average rent on the Isle of Wight is now £1,037 PCM, with 160 properties let last month.
Year-on-year rental changes show:
🏠 1 Bed properties – £757 PCM (+14.35%)
🏠 2 Bed properties – £964 PCM (+11.2%)
🏠 3 Bed properties – £1,284 PCM (+13%)
🏠 4 Bed properties – £1,650 PCM (-12.2%)
Smaller rental properties are seeing significant demand, leading to rising prices. Landlords are benefiting from strong yields, while tenants are facing increasing competition. If you’re looking to rent, acting fast and being prepared with references and deposits is key.
What’s Next for the Isle of Wight Market?
The market is shifting, but opportunities remain. If you’re selling, pricing competitively is crucial and using a good selling agent. If you’re a landlord, rising rents mean now could be a great time to expand your portfolio. And if you’re a tenant or buyer, staying informed and acting decisively will help you secure the right property.
This monthly update is here to keep you in the loop. If you need tailored advice, my team at Red Squirrel Property Shop is always happy to help.
For more insights, visit www.redsquirrelpropertyshop.co.uk or www.charliepanayi.com.
Great idea. Devolution would push property prices up.
The main problem with the island are the estate agents themselves. The property market in the UK is very slow at the moment especially on the island therefore the agents are not earning any money. What they seem to be doing is to undervalue a property in order to try and get a quick sale and therfore earn some commission. They don’t really care about the property owners, they just want the commission. The people who do have the money to purchase are those from the mainland but they no longer see the island as a nice place to live as it is rundown and not forward thinking. Whilst islanders continue to suffer from Apathy Syndrome then there is no future for the island.
Hence devolution is needed.
Also when selling a property you do not have to
use an Estate agent, could have your own sign
made by a sign maker quite cheaply and advertise
in local papers etc.
Estate agent fees are excessive for what they
actually do, they are not needed.
Can some explain to be the correlation between devolution and property prices? May be a better idea is to change the postcodes to SW1? 🙂
Good point, or become a useless MP and get a
FREE tax paid for property in SW1
The funny thing is, people living in SW1 pay less
Council tax than people living on the island.
Strange but true.
Very well said.
After 1st of April house sales will plummet when the rip off government put the stamp duty up. But they will lose in the end and the estate agents will start to disappear fast
Who needs estate agents!, they have had it good
for too many years.
Stamp Duty Land Tax (SDLT or Stamp Duty) rates are changing from 1st April 2025, when the temporary increases to the thresholds that were put in place in September 2022, are due to come to an end. Whilst this change will impact everyone planning to move, it’s first-time buyers who will be the most affected.
Currently first-time buyers pay no stamp duty when buying a home worth £425,000. This threshold will drop back down to £300,000, meaning they will go from paying nothing to paying £6,250 on stamp duty. This is what is was before under the Tories. They were the ones who temporarily changed it.
On the island, do you really think a first time buyer is likely to buy a house over 300k? If the property is less than £125k, they will still pay nothing. For quick saleabilty, those on the cusp are likely to sell UNDER £125k.
Do you really think house sales anywhere will stop because of this and all estate agents (and by default mortgage providers) will go out of business, or do you think it’s more likely that the fees charged will become more competitive as a result, and lenders introduce more products to help in affordability?
Those buying a house can have the stamp duty incorporated into their mortgages if needed.
Regarding house transactions the council need to step up a gear with property searches. I have been quoted 28 days for a search yet Basingstoke Council have just done a search on my future property which only took 5 days. Seeing as there are a greater number of houses on the mainland why oh why is IOW Council so slow. Apathy syndrome no doubt.