Knight Frank’s Prime Global Cities Index, Q3 2025. 

Prime markets have eased again. The latest Prime Global Cities Index shows annual growth slowing to 2.5% as buyers wait for clearer direction on interest rates. Some cities, such as Tokyo and Seoul, continue to push ahead, while others are moving more gently.

Here in Marbella, the picture has been steadier. Prices have continued to edge up through 2025, supported by strong international demand and a limited supply of prime homes. The market remains resilient and well above the national trend.

Taken together, it’s a mixed global outlook, but one that suggests firmer momentum as we move towards 2026

Key findings:

1. Average annual house price growth across our 46-city basket slowed to 2.5% in the third quarter of 2025, down from 3.0% in Q2.
2. 61% proportion of the cities tracked saw positive house price growth over the past 12 months.
3. Tokyo is the city with the fastest rate of annual growth in Q2.
4. Dubai registered a five-year growth of 198%.

Liam Bailey, global head of research at Knight Frank, commented: Prime house price growth has cooled to its slowest pace in two years, as a slowing pace of global rate cuts keeps a lid on performance across global cities. But with rates set to fall further in 2026, the groundwork for a rebound is building"

Read the full report Knight Frank's Prime Global Cities Index, Q3 2025.

Pia Arrieta, 11 Dec 2025 - Intelligence