Knight Frank, the independent global property consultancy, today launches the Q2 2020 Prime Global Cities Index. It tracks the movement in prime residential prices across 45 cities globally.
Key findings:
· Prices increased by 0.9% on average in the year to June 2020, down from 2.3% in March 2020, this represents the index’s weakest rate of annual growth since Q4 2009
· Analysis by world region shows prime prices in Australasia and North America were the most resilient in the year to June 2020.
· Manila, Tokyo and Seoul are Asia’s top performers year-on-year, with Stockholm, Geneva and Paris leading Europe’s rankings. Nonetheless, five of these six cities registered flat or falling prime prices in the three months to June.
· Prime residential prices in Hong Kong dropped slightly by 1.6% in Q2 compared with the previous quarter, narrowing from the decrease of 2.6% in Q1.
· Martin Wong, Associate Director, Research & Consultancy, Greater China says, “Despite several negative factors in Q2, the luxury residential prices in Hong Kong remained relative stable. Against the backdrop of low interest rates, Hong Kong is still one of the most active markets worldwide for prime residential property transactions and buyers continue to seek bargain deals. With limited supply in sight and strong holding power of existing owners, we will continue to see downward rigidity of luxury home prices.”