Key Highlights Of Latest Knight Frank Global House Price Index

Key Highlights Of Latest Knight Frank Global House Price Index

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The Knight Frank Global House Price Index Q3 results have confirmed that the annual house price growth, except in Dubai has slowed from the June Q2 report of 4.8% to 3.8% in the third quarter.
With the US and Latvian market remaining at the bottom of the index, the UK is also spiraling towards the bottom. Average prices fell by 0.3% on a quarterly basis and more than half of all countries showed quarterly price falls, with one third now also showing annual price drops.

It is clear that every country in the world is more or less affected by the global credit crunch. An alarming concern is also the fact that prices fell in half of the lists countries during the third quarter of this year.

Knight Frank even goes as far as predicting further losses to most markets by the end of this year, showing negative or zero growth for this quarter.

Dubai’s figures were non indicative since it is a new entrant to the Global House Price Index and while shifts in Dubai don’t seem as volatile as in the rest of the world, we think the next report might indicate otherwise as it seems to surface through many news reports.

The worst losers in Q3 are countries such as the UK, Norway, Canada and Lithuania. Some of these market prices fell by 5%. Other Eastern Europe countries and Russia in particular are performing not too bad compared to others. Even the Czech Republic showed a slight annual price growth. But signs clearly indicate that the rolling good times are over right now. The market is still weakening which is great news for cash flow strong investor buyers.

Due to the economic situation, many markets offer amazing values to buyers and there has hardly been a better time than now to purchase that second home. Those frustrated with stock market performances over the last few months might choose property instead as a future asset.

For more information download the latest Knight Frank Report.

Country Year On Year Ranking Change in Rank From peak Quarter On Quarter Ranking Change in Rank
2008 Q3 2007 Q3 2008 Q3 2007 Q3 2008 Q3 2008 Q2 2008 Q3 2008 Q2
Dubai
76.1%
n/a
n/a
n/a
15.7%
42.4%
1
1
Slovakia
31.2%
25.4%
1
4
3
4.9%
6.1%
3
5
2
Russia
26.9%
39.3%
2
1
-1
4.2%
4.9%
5
7
2
Bulgaria
26.8%
30.6%
3
2
-1
3.0%
5.9%
7
6
-1
Czech Republic
25.1%
22.6%
4
6
2
5.4%
7.1%
2
3
1
Ukraine
24.8%
20.6%
5
7
2
4.7%
6.9%
4
4
0
Jersey
23.8%
13.2%
6
1
5
1.2%
9.1%
15
2
-13
Hong Kong
18.0%
12.2%
7
15
8
-2.5%
-2.5%
0.7%
34
24
-10
Philippines
13.4%
13%
8
12
4
3.3%
1.7%
6
15
9
Colombia
10.5%
15.2%
9
8
-1
2.2%
2.0%
10
11
1
Cyprus
9%
12.3%
10
14
4
1.5%
-0.4%
14
33
18
Lithuania
7.5%
30.5%
11
3
-8
-5.7%
-5.7%
3.3%
44
8
-36
Slovenia
6%
12.9%
12
13
1
0.7%
1.5%
18
16
-2
China
5.8%
8.8%
13
24
11
-0.1%
-0.1%
0.3%
24
26
2
Indonesia
5.5%
5.5%
14
30
16
0.7%
1.9%
17
13
-4
Hungary
5.2%
1.4%
15
37
22
2.6%
1.3%
9
19
10
Singapore
5%
24.7%
16
5
-11
-4.5%
-2.6%
-2.0%
35
37
2
South Korea
4.9%
9%
17
23
6
2.1%
1.4%
11
18
7
Switzerland
4.5%
1.9%
18
35
17
0.7%
1.5%
19
17
-2
Italy
4.2%
5.4%
19
31
12
2.1%
2.1%
12
10
-2
Greece
3%
2.3%
20
34
14
0.8%
0.8%
16
23
7
Israel
3%
0.5%
21
40
19
-5.0%
2.7%
-0.3%
8
31
22
Australia
2.8%
11.4%
22
20
-2
-2.1%
-1.8%
-0.2%
32
30
-3
France
2.8%
5.7%
23
29
6
-0.3%
0.4%
-0.7%
20
34
13
Croatia
1.9%
7.9%
24
25
1
-1.9%
-1.7%
-0.2%
31
29
-3
South Africa
1.5%
14.5%
25
9
-16
0.2%
0.3%
21
27
6
Netherlands
1.4%
3.1%
26
33
7
-0.3%
-0.3%
1.9%
25
12
-13
Iceland
1.0%
13.8%
27
10
-17
-7.9%
-2.8%
-5.3%
36
43
6
Finland
0.8%
6.1%
28
28
0
-1.4%
-1.4%
0.9%
28
22
-6
Canada
0.2%
11.7%
29
18
-11
-4.9%
-4.9%
1.8%
43
14
-29
Sweden
-0.1%
11.8%
30
17
-13
-0.3%
-0.1%
1.0%
23
21
-2
Luxembourg
-0.2%
1.8%
31
36
5
0.1%
-1.7%
22
36
14
Norway
-2.4%
11.5%
32
19
-13
-4.5%
-4.5%
1.1%
41
20
-21
Spain
-2.7%
7.6%
33
26
-7
-2.7%
-1.3%
-0.3%
27
32
4
Malta
-3.2%
1.1%
34
39
5
-5.7%
-3.1%
-1.0%
39
35
-4
Germany
-3.5%
-3.4%
35
41
6
-11.7%
-1.4%
2.2%
29
9
-20
Portugal
-4.8%
1.3%
36
38
2
-6.4%
-1.9%
-2.8%
33
41
1
New Zealand
-5.1%
12.2%
37
16
-21
-5.1%
-2.9%
0.6%
38
25
-13
Austria
-5.5%
4.1%
38
32
-6
-8.7%
1.7%
-0.1%
13
28
32
Ireland
-7.8%
-0.4%
39
42
3
-8.5%
-0.7%
-2.1%
26
38
12
Denmark
-9.3%
-8.8%
40
44
4
-17.3%
-1.5%
-2.1%
30
39
9
United Kingdom (Nationwide)
-10.2%
9.5%
41
22
-19
-10.3%
-4.6%
-3.9%
42
42
-1
Estonia
-1.6%
7.3%
42
27
-15
-16.0%
-3.5%
-7.1%
40
45
4
United States (Case-Schiller)
-16.3%
-4.6%
43
43
0
-20.6%
-2.8%
-2.3%
37
40
3
Latvia
-24.1%
10.2%
44
21
-23
-26.9%
-6.2%
-5.9%
45
44
-2