Best places to invest in property 2019
Traditional overseas buyer markets are being overtaken as investment opportunities by countries such as Slovenia and Ukraine as they see a change in fortune. Meanwhile European countries account for just six of the top ten in the first quarter of this year.
According to Knight Franks Global House Index Q1 2019, Slovenia is home to the world’s fastest rising house prices. With average values accelerating 18.2% year on year it leads the table by some margin – Latvia comes in at 11.9% in second place. Limited supply is thought to be behind the strong house growth, combined with falling unemployment and low interest rates.
China witnessed resurgent price growth coming in at number 3 on the index with Hong Kong prices expected to remain stable. In the light of current anti-government protests however this could change in coming months.
At number four is Malta, reporting a 10.8% change since the same quarter in 2018. With no wealth taxes, rates or council tax and various residence programmes, Malta is open for business when it comes to attracting foreign nationals. Read our recent blog about retiring to Malta here.
Meanwhile Greece’s housing market continued to gain momentum clocking up four quarters of annual growth in a row. They still have far to go to reach their peak in 2008 tracking 40.8% below and at just number 39 on the index.
Anchor Bay, Malta
Portugal and Spain come in at 16 and 25 respectively. Still the most popular for second home purchases, they don’t represent the best value when it comes to investment choices.
The UK and US were at level pegging in the Global House Price Index just three years ago but are now separated by 17 places with the US in at 29 and UK languishing down in 45th place. Political uncertainty, mainly due to Brexit, has led to a ‘wait and see’ approach in the United Kingdom producing a growth rate of 1.4%. In the States growth is also dramatically slowing, from 6.5% last year to 3.7% this year.
Way down in last place (56) is Australia with a -5.1% change in 12 months. Experts believe Australia’s housing market may have bottomed and could start to gain in the next 12 months. Short term support from both the government and regulator policy is being put in place to stop further downturn.
The top 10 countries (ranked by % change) in the Knight Frank Global House Index are as follows:
- Slovenia (18.2%)
- Latvia (11.9%)
- China (11.6%)
- Malta (10.8%)
- Czech Republic (9.9%)
- Luxembourg (9.3%)
- Hungary (9.2%)
- Mexico (9.0%)
- Taiwan (8.4%)
- Colombia (8.3%)
Knight Frank’s Global House Price Index tracks the movement in average residential prices across 56 countries worldwide using official government statistics, or central bank data. This report is published for general information only and is not to be relied upon in anyway. Link to original article here.
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