Iceland's real estate market sees major growth
October 11, 2017 - Iceland
Iceland continues to lead global house price growth, with property values accelerating in 2017.
Iceland’s house prices have risen by an average of 23.2 per cent in Q2 2017, according to Knight Frank’s research, up from 17.8 per cent in Q1 2017.
Home to a population of 344,000 and with only 130,000 dwellings, Iceland attracted more than 1.7 million foreign visitors in 2016.
Such demand for accommodation led to a new law being introduced in January, which requires those renting their homes for longer than 90 days — or generating a rental income of more than IKr1m (US$9,500) per year — to obtain a special business licence.
This is the third quarter in a row that Iceland has led worldwide rankings. The country’s performance remains notably above average, with Knight Frank’s latest index, which tracks 55 housing markets, showing that 49 markets saw flat or positive price growth in the year to June 2017.
Hong Kong is the second fastest-growing market in the world, with prices up 21.1 per cent in Q2 2017, up from 14.4 per cent in Q1 2017.
Trends, real estate prices, housing prices