With the UK posting double-digit annual price growth, the country ranked as the fourth fastest-growing housing market in the world in 2014, according to the latest figures released by Knight Frank.
In the year to September, home prices in the UK increased by more than 10%, which was not far behind the leader, Ireland, making it one of only six countries to achieve double-digit price growth. At the bottom of the table is Cyprus, where prices were down more than 9% over the same period.
Annual property price growth in the UK has been led unsurprisingly by London, as the capital remains a global draw. Security, political stability, education, business, a completely multi-cultural society, these are just some of the reasons why national and international demand for properties in London is so high, and yet new housing supply continues to fail to keep apace, fuelling property price growth in the process.
Topping Knight Frank’s global house price index was Ireland where the market has performed a dramatic turnaround six years after 50% was wiped from its property market values.
Kate Everett-Allen, Knight Frank International Residential Research, said: “Fewer countries are reaching the heights of double-digit price growth but it’s not all bad news. No country has recorded an annual fall in house prices in excess of 10% for three consecutive quarters suggesting a slight convergence in the performance of the 54 housing markets tracked.”