Prime GlobalCities Index
2024 Q1

The Prime Global Cities Index (PGCI) is a valuation-based index,
tracking the movement of prime residential prices across 44 cities
worldwide using data from our global research network. The index
tracks nominal prices in local currency.

knightfrank.com/research

Global house price growth strengthens
Average annual house price growth rose by 4.1% in the12 months to March 2024, up from a 3.2% increase seenin the final quarter of 2023. Prices are rising at theirfastest rate since the third quarter of 2022.
The first quarter of 2024 witnessed
an average annual growth rate of
4.1% across the 44 markets coveredby the Knight Frank Prime Global
Cities Index, marking the strongest
rate of growth since Q3 2022 –a period when interest rates
were surging and nearly 70% of
central banks were tightening
monetary policy.
On a quarterly basis, price growth
also showed signs of strengthening,with a 1.1% increase in Q1 2024,
up from a 0.3% increase in the lastquarter of 2023.
While the current annual growthof 4.1% marks a notable recovery
from zero growth seen at the end of2022, it remains below the long-term
average annual growth rate of 5.4%.
However, quarterly growth at 1.3%
is now aligning with the long-term
quarterly average.
Looking across the 44 cities
that make up the index, 78% areexperiencing annual price growth,
while 19% are seeing declines. The
rate of price declines has slowed: ayear ago, in Q1 2023, nine markets
were experiencing annual price fallsof more than 5%. In Q1 this year,
only one market – Frankfurt – wasseeing prices fall at this rate.

City focus
At the top of our table is Manila with26.2% annual growth, followed by
Tokyo at 12.5%. Indian cities areexperiencing strong growth, with
Mumbai at 11.5% and Delhi at 10.5%.
In fourth place, Perth, at 11.1%,
confirms the resilience of key
Australian markets.
Manila’s strong growth can be
attributed to two particular factors:
strong economic performance, which
has boosted consumer confidence
and spending power, and significant
infrastructure investment in andaround the city, which has also
boosted demand.
In Tokyo, the robust growth in house
prices early in 2024 can be attributed
to two key factors: exceptionallyfavourable mortgage terms offeredby Japanese banks and a weaker
yen, which has increased foreign
investment in Tokyo’s real estate.
Despite Japan's overall population
decline, Tokyo continues to see a
net increase in population due tomigration from other parts of Japan.
With annual GDP growth runningat over 8%, strong economic growthacross India has boosted house prices
in the main cities, particularly in Delhi
and Mumbai, as our results confirm.

4.1%

average annual growth in prices acrossour 44 city basket

Q3 2022the last time average annual prices wererising at this rate

78%of markets are seeing positive annual
price growth

Onecity (Frankfurt) seeing annual prices fall
more than 5% in Q1 2024 compared tonine cities in Q1 2023

26.2%

annual price growth in Manila, thehighest on our ranking this quarter

While the Australian market hasremained healthy in recent months,
there has been a slowing in pricegrowth in most cities. However, Perthhas been positively impacted by
the rebound in commodity prices,
particularly in the mining sector,
which is a significant part of Western
Australia’s economy.
The weaker markets in our index
are mainly seeing a continuation of
the negative impact of higher interest
rates, which is affecting affordability.

Liam Bailey, Knight Frank’s global head of researchFig 1: Knight Frank Prime Global Cities Index Q1 2024
Annual % change

20%
15%
10%5%0%

2024

2023

2022

2021

2020

2019

2018

2017

2016

2015

2014

12-month% change

6-month% change

1

PH Manila

26.2

6.0

3

IN Mumbai

11.5

6.7

5IN Delhi

10.5

NZ Christchurch

9.1

4678910

JP Tokyo

AU PerthKR SeoulAE Dubai

US Los Angeles
ES Madrid11

US Miami

13

CA Toronto

1214151617181920

CA Vancouver

NZ Wellington
NZ Auckland

SG Singapore

12.5
11.1

7.6

6.5

23

CH Zurich

2.6

-2.8
3.5
7.4

3.7

0.9

4.1

3.6

4.5
1.0

TW Taipei

3.0

24

AU Sydney

2.2

1.3

26

CN Guangzhou

1.9

0.7

PT Lisbon

1.8

2527

28
293031IE Dublin

US San Francisco

CN Shanghai

FR Paris38

1.6

0.9

-0.2
0.7
1.2

0.9
1.5
1.1

-2.6
0.4
0.5

1.2

0.2

0.9

0.8

-0.0

AU Melbourne-0.31.5-0.2

-1.3

-0.5

MY Kuala Lumpur

1.2--0.3

TH Bangkok-0.4

UK London-2.4

HK Hong Kong

-2.8

SE Stockholm

44-3.0

4.1

3.0-0.2

41

43

1.7

1.3

CH Geneva

US New York42-4.0

3.1

3.0

-0.1

39

40

1.9

-1.3

0.6

AT Vienna

37

2.1

2.8

-1.2

ID Jakarta

34
36

1.7

0.6

1.4

RO Bucharest

35

2.1

1.2

1.3

MC Monaco

32

33

2.5

4.2

0.2

3.0

4.6

3.1

0.1

1.2

2.4

2.3

5.0

6.3

0.4

5.2

5.2

1.5

1.5

-2.9

4.6CN Beijing

6.4

6.0

KE Nairobi

AU Brisbane

5.6

-2.7

4.8

CN Shenzhen

7.9

8.6

6.6

4.6

-2.1

-5.1

8.3

3-month% change

8.3

9.6

IN Bengaluru

2122

Press enquiries
Astrid Recaldin+44 20 7861 1182
astrid.recaldin@knightfrank.com

2013

The Knight Frank Prime Global Cities Index Q1 2024
Ranked by annual % change

2

Research enquiries
Liam Bailey+44 7919 303 148
liam.bailey@knightfrank.com-10%

Source: Knight Frank Research

Rank/City

We like questions, if you’ve got one about ourresearch, or would like some property advice,
we would love to hear from you.

2012

2011

2010

2009

2008

-5%
2007

“The rebound in global housing
markets is continuing, as evidenced
by our Prime Global Cities Indexreaching 4.1% annual growth. Rather
than heralding a return to boom
conditions, the index indicatesthat upwards price pressures arestemming from relatively healthy
demand, set against continued low
supply volumes. The pivot in rates –when it comes – will encourage more
vendors into the market, leading toa welcome return to liquidity in key
global markets.”

DE Berlin

DE Frankfurt-2.1

-2.6

-4.7

-6.9

1.8

--0.1

2.2

0.1
-0.1

-0.1

0.8

-1.5

-0.4

-1.9

-0.8

-2.8
-1.5

-3.0

-1.5

-0.4
-1.5

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