KUALA LUMPUR: The Prime Global Cities index recorded an average annual growth rate of 4.1% in the first quarter of 2024 (1Q24), marking the strongest growth rate since 3Q22 before interest rates surged and monetary policies tightened.
In Knight Frank’s latest edition of the Prime Global Cities Index, which tracks luxury residential prices across 44 global cities, the real estate agency said the growth represents a notable rebound from flat growth at end-2022.
According to Knight Frank Property Hub Malaysia Managing Director, Enoch Khoo, the price growth also increased by 1.1% quarter-on-quarter in 1Q24, up from 0.3% increase in 4Q23.
“This trend mirrors the Malaysian market, where rising prices have similarly indicated a strengthening economy,” he said.
Knight Frank Global Head of Research, Liam Bailey said the 4.1% growth was a sign of the rebound in global housing markets.
“Rather than heralding a return to boom conditions, the index indicates that upward price pressures are stemming from relatively healthy demand, set against continued low supply volumes.
“The pivot in rates will encourage more vendors into the market, leading to a welcome return to liquidity in key global markets,” he added.
— BERNAMA
