Guernsey Mortgages

Yes, mortgages are available in Guernsey from banks and lenders licensed by the Guernsey Financial Services Commission (GFSC). Eligibility depends on the borrower's residential status, the property's Local Market or Open Market category, income, and deposit. Fewer lenders operate in Guernsey than in the United Kingdom, so lender selection is important.

Most United Kingdom high street lenders do not lend on Guernsey property, because Guernsey has its own property law, registry, and regulator. Lending in Guernsey requires a licence from the Guernsey Financial Services Commission (GFSC), and security is registered at the Greffe rather than the Land Registry.

No, ownership of Guernsey property is not restricted, but occupation is. Anyone can own Guernsey property, but the right to live in a Local Market home depends on residential qualifications or a permit, while Open Market property can be occupied without local qualifications by those lawfully in Guernsey.

No, Guernsey mortgage rates are set independently by the lenders operating in the island and can differ from United Kingdom mainland rates. Guernsey lenders price against their own funding costs and the smaller local market, although the Bank of England base rate still influences sterling borrowing costs generally.

No, Guernsey mortgage interest relief on a principal private residence has not been abolished. The States of Guernsey planned a phased withdrawal of the relief, but the withdrawal was paused and in November 2025 the States resolved to retain the relief at its capped level. Budget rules can change annually.

Guernsey mortgages are offered by retail banks with a presence on the island, Channel Islands specialist lenders, and private banks, all of which must be licensed to lend in the Bailiwick by the Guernsey Financial Services Commission (GFSC). Most United Kingdom high street lenders do not lend on Guernsey property.

Local Market property in Guernsey can generally only be occupied by people with Guernsey residential qualifications or a permit, while Open Market property can be occupied by British and Irish citizens and others without local qualifications. The two markets have separate registers and different typical price levels.

Yes, buy to let mortgages are available in Guernsey from lenders licensed to lend in the Bailiwick. A Guernsey buy to let mortgage is assessed mainly on the rental income of the property, alongside the landlord's wider finances. Fewer buy to let products exist in Guernsey than in the United Kingdom.

Guernsey mortgage interest relief is a deduction from Guernsey income tax for interest paid on a mortgage over a principal private residence in Guernsey. Relief is capped, applying to borrowing up to £400,000 with a maximum relief amount per person set by the States of Guernsey in each budget.

Yes, Guernsey landlords can claim tax relief on a proportion of mortgage interest paid on domestic let property in Guernsey or Alderney against rental income. The relief is restricted to a set percentage of interest paid and cannot create a rental loss. The percentage is set by the States of Guernsey.

Guernsey mortgage rates are often higher than United Kingdom mainland rates for equivalent products, although pricing varies by lender and over time. Fewer lenders operate in Guernsey, so competition is lower than in the United Kingdom. Guernsey lenders set rates against their own funding costs, while the Bank of England base rate still influences sterling borrowing costs generally.

A Guernsey-incorporated company can obtain a mortgage on United Kingdom property from specialist lenders and private banks that accept offshore company borrowers. Mainstream UK high street lenders generally do not lend to offshore companies. Lenders require details of the company's directors, shareholders, and beneficial owners, and usually take personal guarantees from the individuals behind the company.

A Guernsey resident can buy a London property with a mortgage from United Kingdom lenders that accept Channel Islands residents. Guernsey residents are treated as overseas borrowers by many mainstream UK lenders, because Guernsey is a Crown Dependency outside the United Kingdom. Specialist lenders, expat lenders, and private banks routinely lend to Guernsey-resident buyers of UK property.

Yes, mortgages are available on property in Alderney, which is part of the Bailiwick of Guernsey, from lenders willing to lend across the Bailiwick. Alderney does not operate Guernsey's Local Market and Open Market split, so there are no equivalent occupation restrictions on Alderney homes.

Non-residents can obtain a mortgage on Guernsey property, most commonly on Open Market property, which can be occupied without Guernsey residential qualifications. Lenders licensed to lend in the Bailiwick of Guernsey assess overseas income, source of wealth, and relocation plans. Local Market property carries occupation restrictions, so non-resident lending on Local Market homes is limited.