Owning a piece of the rock is getting further out of the reach of the ordinary Bermudian - with the cost of an average home soaring to nearly $1 million.

Data compiled by two separate realtors shows that the cost of a single family dwelling unit in Bermuda has risen to new heights. JW Bermuda Realty has put the average price of a house at $965,000 and Rego Realtors at $988,183.

Research done by JW Bermuda Realty showed that the average cost of a home was $870,000 in 2002, with the price rising by more than ten percent in the last six months to $965,000 now.

Property offers better returns than the stock market which has hit many Bermudians hard. This combined with the lowest interest rates in decades has more people with wealth putting their money into bricks and mortar.

But this leaves those struggling to make ends meet - such as first time buyers - facing stiff competition for prospective homes.

In its State of the Market Report for spring 2003, Rego Realty put the average cost for a residential property at $988,183 during 2002 adding that the sector is still booming this year.

The same report states that, during 2002, the total of all residential sales was $162 million, with the average price for condos being $520,269 and $423,611 for land.

Rego reported that on the outskirts of the Island the average cost of a home was roughly $700,000 while in Smith's it was $1,600,000 - with the average cost of a condo in Smith's running at $847,000.

In its report for 2001, the total cost of sales for residential, condos and land was approximately $250 million. During 2001 the average price of residential real estate in St George's and Somerset was $725,000. In Hamilton Parish, which includes Tucker's Town, the average price was $1.3 million.

But there is some good news for those wishing to take that first step on the property ladder. New developments being built across the Island could relieve the strain, with dozens of new units set to be put on the market in the next two years.

See Businee, Page 18