Research by peer to peer real estate investment platform, easyMoney, has shown that despite the London market trailing the rest of the UK where pandemic property price performance is concerned, the capital ranks within the top four most sought after global markets when it comes to the annual rate of property price appreciation.
easyMoney analysed property market values across 15 of the world’s most prestigious property market playgrounds looking at house price growth over the last year, as well as how these markets have performed since the start of the pandemic.
The research shows that Miami sits top of the table both in terms of annual and pandemic house price growth. House prices in the city have climbed by 23.7% in the last year alone, up 56.2% since the final quarter of 2019.
When looking at pandemic market performance, Vancouver has seen the second strongest market performance, with property values up 53.7% since Q4, 2019.
Los Angeles (30.5%), Berlin (25.6%), Dubai and Auckland (20.2%) also rank amongst the best performing global hotspots since the start of the pandemic.
Geneva has seen the lowest rate of property price growth since the final quarter of 2019 at 7.4%, whilst London sits 10th in the table (13.1%).
However, when analysing market performance over the last year, the data suggest that the strength of the London market is starting to build once again.
After Miami, Dubai has seen the second largest level of house price appreciation in the last year, up 10.2% annually, with Madrid ranking third at 6.2%.
At 6.3%, the London market sits fourth in the global league table, marginally behind Madrid and ahead of New York with an annual rate of growth of 5.8%.
At the other end of the table, Auckland (-18.1%), Melbourne (-11.7%) and Sydney (-8.8%) are the only global hotspots to have seen a decline in market values over the last year.
Jason Ferrando, CEO of easyMoney said, “London has largely trailed the rest of the nation when it comes to the sheer rate of house price appreciation seen since the start of the pandemic. However, it’s fair to say it remains the jewel in the crown of the British property empire, both in terms of outright property values, as well as its desirability on the global stage.
While the pandemic certainly had an impact on both domestic and overseas demand for London real estate, we’re now seeing momentum start to build across the market and this is starting to drive house price performance.
So much so that the capital ranks fourth in our global list of property hotspots when it comes to annual house price growth and we only expect this performance to strengthen as the year goes on.”