If you are one of the many Australians who have felt Aussie house prices experienced the highest rate of growth on the planet in 2021 – then this new data just confirmed it.
According to Knight Frank's Global House Price Index, last year saw global home prices increase at their fastest rate in almost 18 years, with prices across 150 major cities up by an average 10.3%.
The report tracks the performance of 56 national housing markets around the world – both nominal or unadjusted values as well as “real” values with inflation accounted for, in local currencies – using official data from central banks or national statistic offices in each country.
Knight Frank's Global House Price Index showed Australia had the highest rate of real annual price growth in the world, with an average 17.5% growth in 2021, nine.com.au reported.
In terms of nominal house price growth, Turkey leads the pack with a massive 59% rise across last year. But it is only second to Australia when adjusted for Turkish inflation at 36%, with average growth of 17.3%.
The research stated that the top five performers remain the same whether you track nominal or real price growth – their order simply shifts. These markets are Australia, Turkey, New Zealand, Czech Republic, and Slovakia.
Out of the 56 countries tracked, only Malaysia, Malta, and Morocco saw a decline in nominal house prices in 2021.
The report said that “the 10 markets that have witnessed the strongest increase in house prices since the start of the pandemic are largely developed markets where governments stepped in to support economies, and in some cases, housing markets via mortgage holidays or subsidy programmes,” nine.com.au reported.
