Global house prices rise at fastest rate in two years
Second-quarter results for Knight Frank’s Global Residential Cities Index show an average 5.5 per cent rise globally in urban house prices in the year to June 2016.
6 October 2016
Employees relocating to China may be pleased to hear that a number of Chinese cities have been listed in Knight Frank's latest Global Residential Cities Index, which has recorded its strongest annual growth rate for two years.Six Chinese cities (Shenzen, Shanghai, Nanjing, Beijing, Guangzhou and Hangzhou) appear in the top ten with Shenzen leading the rankings, due in part to its rapidly expanding technology sector.Data from China’s National Bureau of Statistics report that the average annual growth for the top ten Chinese cities equates to 22 per cent in the year to June, despite growth being -1.1 per cent for the same cities a year earlier.Kate Everett-Allen from Knight Frank comments, “A number of the municipal governments in China are now introducing a new raft of stringent cooling measures at a local level to dampen dales, these range from limiting non-locals to single home purchases and tightening rules for local residents in relation to second home purchases.”Looking to Europe, Budapest ranked in fourth place and was the European city with the strongest price growth at 24 per cent in the year to June. The United Kingdom was well represented with London, Bristol, Nottingham and Birmingham all appearing in the top ten European cities. Other top performing European cities include Amsterdam, Oslo, Malmo, Stockholm (despite slipping from 6th to 29th) and Utrecht, all of which placed in the top ten in Europe, representing strong growth in the Netherlands and Scandinavia.Moscow placed at the bottom of the list in this quarter’s results, showing a negative growth of 11 per cent, closely followed by Jaipur with negative growth of 10 per cent. Other cities in the bottom ten include Sevilla (-7.9 per cent), Aberdeen (-6.2 per cent) and Perth, Australia (-4.8 per cent).