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Global house prices drop further | Global house prices drop further | |||||
(about 2 hours later) | ||||||
House prices around the world dropped further in the first quarter of 2009 as the global recession worsened, with Latvia seeing the largest falls. | House prices around the world dropped further in the first quarter of 2009 as the global recession worsened, with Latvia seeing the largest falls. | |||||
Out of 32 countries studied, 27 saw price falls over the year to the end of March 2009, property researchers the Global Property Guide said. | Out of 32 countries studied, 27 saw price falls over the year to the end of March 2009, property researchers the Global Property Guide said. | |||||
Apartment prices in the Latvian capital Riga fell 50% over the year. | Apartment prices in the Latvian capital Riga fell 50% over the year. | |||||
The guide uses price changes after inflation to try to give a realistic picture of the property market. | The guide uses price changes after inflation to try to give a realistic picture of the property market. | |||||
Latvia is deep in recession - its economy contracted by 18% in the first quarter of 2009 compared with the same period a year earlier. | Latvia is deep in recession - its economy contracted by 18% in the first quarter of 2009 compared with the same period a year earlier. | |||||
The second biggest fall was seen in Dubai, where prices were down 35% over the year. | The second biggest fall was seen in Dubai, where prices were down 35% over the year. | |||||
It indicates the extent to which Dubai's recent property boom has come to an end in the face of the worldwide recession. | It indicates the extent to which Dubai's recent property boom has come to an end in the face of the worldwide recession. | |||||
Prices had shot up by 59.7% the previous year. | Prices had shot up by 59.7% the previous year. | |||||
There were some countries where prices are rising. House prices in Switzerland are 4.3% higher than a year earlier. Reduced interest rates and a surge in the number of foreign residents helped keep property demand stable, Global Property Guide said. | There were some countries where prices are rising. House prices in Switzerland are 4.3% higher than a year earlier. Reduced interest rates and a surge in the number of foreign residents helped keep property demand stable, Global Property Guide said. | |||||
House prices in Thailand, Austria and Israel also bounced back in the first quarter. | House prices in Thailand, Austria and Israel also bounced back in the first quarter. | |||||
Country | Year-on-year (%) | 2008 Q1 | 2009 Q1 | Source: Global Property Guide. UK (Land Registry)2.41-18.54US (Case-Shiller)-17.24-19.01Iceland7.36-20.47Singapore21.76-22.70UAE-Dubai59.71-35.31Latvia-RigaN/A-50.42 |
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