Global Property Prices Increasing
Global property prices increased by 6.6 percent in the year to March, the highest rate since the second quarter of 2010, according to the Knight Frank Global House Index released today.
The firm reported an increase in 63 percent of the housing markets it tracks, with Hong Kong again leading the list.
Despite government measures implemented to cool property prices, Hong Kong posted an increase of 28 percent from a year earlier Mainland China prices increased 23.8 percent in the 12 months and 10.7 percent in the first quarter of 2013, the most of any country for the quarter.
All global regions posted increases in the year to March, except Europe, with the Middle East performing the best. Greece had the largest annual decrease at 11.8 percent, followed by Hungary and the Netherlands.
"Europe's difficulties don't end there - aside from Japan and South Korea all the countries that recorded negative growth in the 12 months to March were based in Europe," the firm reports.
Ireland, however, continues to show positive signs of recovery
. Even though prices fell three percent in the year, the declines were a sharp contrast to the double-digit decreases of recent quarters.
The U.S. reported a 10.2 percent annual price increase, the highest rate of annual growth since 2006, Knight Frank reports. The conclusion is similar to data previously reported by CoreLogic
South Africa is also performing well, with prices increasing annually by 11.3 percent.
"South Africa's momentum is linked to an increasingly wealthy middle class who are tapping into the rising confidence of the wider African continent, keen to get on the property ladder," according to the consultancy.
Contrary to the trend immediately after the financial crisis, the Dutch market reported a price decrease of 8.3 percent in the year, mostly driven by rising household debt and unemployment, the firm reports.