Knight Frank: Global House Price Index Q3 2025

Global house prices gain pace in Q3 2025, but affordability stays tight.House price growth across global markets accelerated in Q3 2025, according to Knight Frank’s Global House Price Index, which tracks trends across 55 mainstream housing markets worldwide. The weighted average annual increase edged up to 2.4%, from 2.2% in Q2, supported by easier monetary conditions.

Key findings

1) Growth picked up across the index. The weighted average annual increase across the 55 markets rose to 2.4% in Q3 2025, up from 2.2% in Q2. The direction is clear: nominal prices are firming in more markets.

2) Rate cuts are back in the driver’s seat. Monetary policy is providing a tailwind. Through Q3 2025, central banks delivered zero rate hikes and 27 net cuts (-6 in July, -9 in August, -12 in September). Lower rates are easing financing conditions and supporting demand.

3) Affordability is still under pressure . Despite stronger headline growth, real house-price growth remains slightly negative at -0.1% year-on-year in Q3 2025. Inflation is still eating into purchasing power in several markets, keeping affordability stretched even as rates trend lower.

Liam Bailey, global head of research at Knight Frank, commented: “Nominal growth has edged higher again as central banks pivot towards cuts, but real gains are still hard‑won. To see firmer growth into 2026, policymakers will need to maintain an easing while inflation continues to retreat.”

Local insight: Marbella and the Golden Triangle

In the Golden Triangle, average selling prices rose again year-on-year in Q3/2025, with Marbella up +5.57%, Benahavís up +4.29%, and Estepona up +7.13%. As published in our recent Marbella Property Market Price Trends 2025-2026  land scarcity is still pushing costs up, even as construction costs have stabilized. And while the market remains resilient, sales across the Golden Triangle eased slightly in Q1–Q3 2025 versus the same period in 2024, which hints at a gentler pace after several years of strong growth.

Read the full report Knight Frank's Global House Price Index Q3 2025

Pia Arrieta, 11 Feb 2026 - Intelligence