Global House Price Growth Accelerates. Q2, 2024

Global house prices are back on the rise, showing signs of acceleration after a period of slower growth. According to Knight Frank’s latest Global House Price Index, house prices across a 56-country basket increased by 3.3% in the year to June 2024, with a notable 1.9% rise in the last three months alone. This represents the strongest quarterly performance in two years, with 74% of markets seeing price increases.

Key Findings:

• House prices across our 56-country basket rose by 3.3% in the 12 months to the end of June, with prices increasing by 1.9% over the past three months alone.
• 74% of markets are seeing price increases in the past three-month period, the highest reading in two years.
• Although the current 3.3% annual growth rate remains below the pre-Covid trend of 4.6%, growth has ticked up since the low reached in Q2 2023.
• Turkey leads our index with 46.4% nominal annual price growth. However, with the economy undergoing a second round of very high inflation, prices are dropping by around 14% annually in real, inflation-adjusted terms.
• Hong Kong is at the bottom of our table with prices falling by 12.7%, although prices were flat over the last quarter, pointing to the potentially successful impact of recent easing of purchase restrictions and stamp duties.
• The US market continues to deliver strong growth numbers, up 5.5% on an annual basis.

Liam Bailey, global head of research at Knight Frank said: “ Rate cutting is supporting rising house prices globally. The rate of this growth will be limited by the pace of central bank activity, but also by government intervention, which, as can be seen in China, Hong Kong, and Poland, is becoming a much more active policy area. Regulators are attempting to boost access to markets and increase house building volumes.”

Read the full report: Knight Frank Global House Price Index Q2 2024.

Pia Arrieta, 07 Oct 2024 - Intelligence - News