Slovenia is on top, China’s resurgent price growth is unlikely to last long and the gap between the US and the UK is widening.
Slovenia is home to the world’s fastest rising house prices with average values accelerating 18.2% year-on-year. Falling unemployment, low interest rates and until recently, limited supply, are behind the strong price growth. European countries account for six of the top ten this quarter with Hungary (9.2%) making its fourth consecutive appearance in the top ten rankings.
China witnessed resurgent price growth in the first quarter of 2019 taking annual growth at a national level to 11.6%. Whilst we expect Hong Kong prices to remain largely stable during the remainder of 2019, the Greater Bay Area (excluding Hong Kong and Macau) will see continued growth, albeit in single digits. Across the rest of mainland China we expect price inflation to be tightly controlled via a range of stringent policy measures.