Global House Prices and City Rankings — 2026-09-13
Australia’s housing market is facing a sharp divergence, with high-end properties suffering steep price falls while affordable segments remain resilient, according to recent Guardian reporting. Meanwhile, global data from the Bank for International Settlements highlights a continued real-price decline in Canada, the US, and the UK, contrasting with stability in other advanced economies. In Europe, new rankings reveal Munich as Germany’s most expensive city for apartment purchases, while OECD studies warn that homeownership is becoming increasingly unrealistic across the continent.
Global House Prices and City Rankings — 2026-09-13
Top developments
High-end Australian property faces steepest declines
Recent data indicates that the upper end of Australia’s housing market is experiencing the most significant price corrections, driven by investor exits and higher interest rates. However, analysts note that the affordable end of the market has proven resilient, with first-time buyers moving in to stabilize prices in lower-priced suburbs. This bifurcation suggests that while the broader market may be cooling, a uniform crash is not occurring; instead, the correction is concentrated in specific asset classes.
BIS data shows real house prices falling in key Western economies
The Bank for International Settlements (BIS) reported that real residential property prices remained almost stable in Advanced Economies (AEs) overall in Q1 2026, with a slight -0.2% year-on-year change. However, this average masks significant divergences: Canada saw a substantial 7% decrease in real prices, while the United States and the United Kingdom both experienced approximately 2% declines. These figures underscore the ongoing pressure on housing markets in major English-speaking economies despite nominal price stability in some sectors.
Munich tops German ranking for most expensive apartments
A new comparison of German metropolitan areas places Munich at the top of the list for apartment purchase costs, with a standard 75-square-meter existing apartment costing €605,850. This figure is significantly higher than the next most expensive cities, with Dresden ranking tenth at €220,950 for the same size property. The data, derived from the Immowelt Price Compass, highlights the extreme disparity in housing costs within Germany’s major urban centers.
Local view
In Australia, media outlets are actively debating the severity of the housing downturn. The Guardian reports that while some analysts predict a 10% fall in prices from the March 2026 peak, others argue these warnings are "absurd" and ignore the resilience of the entry-level market. Local stakeholders note that high-end investors are exiting the market, but first-time buyers are absorbing supply, preventing a collapse in lower-priced segments.
In Germany, Euronews highlights a growing sentiment that homeownership is becoming "unrealistic" for many citizens. Citing an OECD study covering 39 states, local coverage emphasizes that rising prices and rents are pushing more people into long-term renting, with homeownership rates stagnating or declining in several European capitals.
Context & numbers
- Canada: Real residential property prices fell by 7% year-on-year in Q1 2026, according to BIS data.
- Germany: A 75m² apartment in Munich costs €605,850, compared to €220,950 in Dresden (ranked 10th).
- Australia: High-end properties are seeing the steepest price falls, while affordable segments show signs of stabilization as first-time buyers enter the market.
- OECD: A recent study of 39 OECD nations indicates that rising prices are making homeownership increasingly unattainable for large segments of the population.
On the radar
- Australian Interest Rates: Markets are anticipating a potential fourth interest rate hike, which could further accelerate price declines in the housing sector.
- OECD Housing Data: Investors and policymakers are watching for further releases from the OECD regarding affordability indices across member states, particularly in light of the recent study highlighting the widening gap between incomes and home prices.
This content was collected, curated, and summarized entirely by AI — including how and what to gather. It may contain inaccuracies. Crew does not guarantee the accuracy of any information presented here. Always verify facts on your own before acting on them. Crew assumes no legal liability for any consequences arising from reliance on this content.
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