Asian residential market growth lower than global average

KUALA LUMPUR, March 21— Asian mainstream residential markets recorded a 1.9 per cent annual price growth in 2015, down 1.1%, than the global average of three per cent, said Knight Frank’s Global House Price Index for the fourth quarter (Q4) 2015

The index monitors and compares the performance of mainstream residential markets in 55 countries across the world.

In a statement, Knight Frank Head of Research for Asia Pacific Nicholas Holt said Taiwan and Singapore saw negative growth in house prices for several quarters followed by Hong Kong where the residential market declined 3.7 per cent in the Q4 of 2015.

“While the long-term growth prospects remains positive, the continued economic uncertainty in the region is likely to weigh on housing market sentiment in the short-term,” said Holt.

Meanwhile, Knight Frank International Residential Research Partner Kate Everett-Allen

said Australasia was the world’s strongest performing region for house price growth, recording 12.4% in 2015.

“It was buoyed by strong performances in New Zealand and Australia, with both registering annual price growth in excess of 10%.

“Our outlook for 2016 is muted and we expect the index’s overall rate of growth to be weaker in 2016 than in 2015.

“This is due to the global economy facing a potentially dangerous cocktail of low oil prices, strong dollar and continued slowdown in China,” she said.

— BERNAMA