As we make our way out of the first quarter of 2025, global housing markets are showing signs of cautious optimism. However, the pace of growth remains slow. Home prices across the world increased by just 2.6 percent annually in Q4 2024, well below the long-term average of 4.8 percent, according to a new report from Knight Frank. While this marks a slight uptick, the real momentum hinges on further interest rate cuts expected later in the year. “Global house prices are currently rising, albeit modestly,” says Liam Bailey, global head of research at Knight Frank. “The boost to growth from last year’s rate cuts has dissipated to an extent, and a further round of cuts is required to enable an increase in the current below-trend growth rate.” After a sharp rise in rates through 2022 and 2023, global house prices have struggled to regain their previous growth trajectory. Adjusted for inflation,..
