Manila has the most annual price appreciation of any housing market in the world, at 22%.

The recent Global Residential Cities Index found that the average yearly price increase for all 150 cities was 4.3 percent. Freelance

Manila leads the yearly world rankings for the second straight quarter, according to worldwide property consultant Knight Frank's latest Global Residential Cities Index, with price rise of 22% in the year to March 2020. Budapest continues to be the fastest-growing city in Europe, with a 16 percent increase. The trio of Central and Eastern European cities in the top ten includes Zagreb and Warsaw.

Apart from Manila, the best achievers in Asia Pacific are Seoul and Melbourne, both with annual growth rates of 13%. In the 12 months to March, the index climbed by 4.3 percent, the greatest annual rate of growth since Q3 2017. Over the course of the year, 85 percent of the 150 cities studied saw their costs rise.

A look at the 15 cities in China and the United States with the highest GDP highlights the severity of China's recession in the first quarter of 2020, with average price increase of only 0.4 percent, the lowest average quarterly rate of growth for the 15 cities since Q1 2008.

 

In Q3, global home price growth slowed to a six-year low.

Hungary, Luxembourg, and Croatia have the highest yearly housing price increases.

Home prices are rising at an annual rate of 3.7 percent on average across 56 nations and territories, according to global real estate expert Knight Frank. This is the index's slowest growth rate in more than six years. This trend may be seen in both the mainstream and prime divisions of Knight Frank's other global city indices.

Hungary leads the index this quarter with 15.4 percent annual price rise, backed by a strong economy (4.9 percent GDP growth predicted in 2019*), low mortgage rates, high salary growth, and a variety of government subsidy initiatives, according to the most recent available statistics.

Other past frontrunners over the last two years, such as Slovenia (18th), Malta (22nd), and Iceland (26th), have cooled dramatically, either to poorer economic environments, affordability worries, or a drop in tourism.

Some countries and territories, on the other hand, are climbing the ranks. Greece was ranked 24th a year ago, with a price increase of 2.4 percent. Although prices are still 37% below their 2008 peak, they are presently rising at a 7.7% annual rate, putting Greece in 12th place out of 56 countries and territories.

This quarter, European countries account for seven of the top ten rankings, with the majority of them being in Central and Eastern Europe. Prices are rising from a low foundation, economies are improving, and borrowing costs are near historic lows.

On a global scale, Russia and the Commonwealth of Independent States (CIS) are at the top of the rankings, with an average annual growth rate of 5.7 percent - prices in Russia are up 8.1 percent over the past year, and Ukraine has risen from the bottom of the rankings to now have an annual growth rate of 3.3 percent.

Knight Frank provides two mainstream price indices: the Global Residential Cities Index (150 cities) and the Global House Price Index (country level). Two important trends emerge from a comparison of the two indices. First, how much national house prices lag city markets by about six months, and second, how much the performance gap between the two has shrunk since 2018.