Global House Prices Starting To Slow

Average house prices in 150 global cities tracked rose by 6.1% in the year to the end of the second quarter of 2017, according to property experts.

Although many cities are still showing double-digit growth, the Knight Frank Residential Cities Index slipped 0.8% down from 6.9% in the first quarter, the first fall since the beginning of 2016.

Although nine cities are still posting growth of more than 20%, this has fallen from 12 to nine places and with fewer Chinese cities. However, China still has 14 cities with price growth of more than 10% despite the government putting a brake on the market with cooling measures.

Toronto, Canada, tops the rankings with home values surging by almost 30%. A new entrant to the top 10 is Izmir, Turkey, with prices rising by 20.2%.

“This quarter we have seen some new contenders rise up the rankings, most notably some key Indian cities,” said the firm’s international researcher Kate Everett-Allen.

“A year ago, the 10 Indian cities tracked by our index averaged 3% annual price growth, today this figure has jumped to 12%.”

Source: Knight Frank Global Residential Cities Index