The small Mediterranean island of Malta has seen the world’s steepest house price growth in the last 12 months, as traditionally fast-growing property hotspots fall behind in the wake of tough new property regulations.
Malta experienced a 17 per cent annual rise in house prices during the year leading up to June 2018, topping today’s latest Knight Frank’s global house price index for the first time.
While the likes of Hong Kong, Singapore and New Zealand have all experienced strong growth, they have suffered a slight slowdown in house prices over the last 12 months, as local lawmakers clamp down on the influx of foreign money.
Although only seven of the 57 countries tracked registered falling prices during the last year, the index also recorded its slowest rate of global annual growth (4.7 per cent) in nearly two years.
The UK ranked 36th in the index, with house prices rising three per cent in the last year.
Among the other trends that emerged in the study was the strong growth within central and eastern European property markets. Ireland also saw strong growth, coming sixth in the global list following house price rises of 12 per cent.
Kate Everett-Allen, of Knight Frank’s international residential research team, said: “Our analysis shows that whilst fewer markets are seeing a decline in house prices, where prices are rising, they are rising at a more moderate pace.”