The data in this report is backward looking and covers the period up to 31 March 2020 when Covid-19 was at its peak in parts of Asia but had yet to take its toll on large parts of Europe, North and South America.

As we’ve outlined in our regular daily research updates we expect the pandemic to hit sales volumes harder than prices but it is likely to be Q2 or Q3 before the true impact on prices is known. That said, it is unlikely that sellers will lower asking prices significantly given low interest rates and the introduction of mortgage holidays across most advanced
economies which will help prevent widespread distressed selling.

Surprisingly, of the 56 countries and territories tracked, only one saw prices decline year-on-year – Finland, and only by 1.2%. Since we first started the index in 2008, this represents the highest proportion (98%) of countries registering positive price growth on an annual basis.

The story over a three-month period however is different. Thirteen countries and territories registered price declines in Q1 2020. Of the 13 to see declines, nine were European markets. Turkey leads the annualised rankings with price growth of 15% but in real terms, when adjusted for inflation, prices increased by only 6%.