Newsletter

Saudi Residential Market Cools After Rapid GrowthSaudi Arabia’s residential property market is entering a clear cooling phase after several years of strong price growth.The national Real Estate Price Index stood at 103.3 in Q1 2026, down 0.2% quarter-on-quarter and 1.6% year-on-year. The decline was mainly driven by housing, where prices fell 3.6%, led by lower residential land, apartment and villa prices.The correction is most visible in Riyadh, where real estate prices declined 4.4%. This marks a sharp shift after the capital recorded strong gains in both 2023 and 2024.The main pressure point is affordability. After major price increases over the past five years, higher mortgage costs have reduced buyer activity and pushed the market into a more selective phase.However, this is not a weak market story. Rental demand remains strong. In Riyadh, apartment rents rose 19.6% year-on-year, while villa rents increased 17.2%. Saudi Arabia’s average gross rental yield stood at 6.84% in Q1 2026, supporting income-focused investors. Policy Support and Foreign Ownership Strengthen Long-Term DemandSaudi Arabia’s long-term housing fundamentals remain supported by Vision 2030, which targets a 70% homeownership rate, lower down payments and greater mortgage liquidity.The country is also expected to need more than 800,000 additional homes by 2030, pointing to a continued supply gap.A major catalyst is the new foreign ownership law, which took effect in January 2026, allowing non-Saudis to buy property in the Kingdom for the first time.OutlookSaudi Arabia’s market is shifting from fast capital gains to a more fundamentals-driven cycle.For investors, mid-2026 may offer a buyer repricing window, especially where rental demand, policy support and long-term supply needs remain strong. The outlook is more disciplined, but still attractive for investors focused on income, quality assets and long-term market growth.Download to see insights from other country marketsDownload

Philippines Real Estate Shows Stronger Recovery SignalsThe Philippines property market is entering the second half of 2026 with improving momentum. The US-Iran ceasefire and reopening of the Strait of Hormuz have helped stabilise global oil markets, leading to major fuel rollbacks in the Philippines.This is easing pressure on household budgets and business costs, while also supporting buyer confidence. At the same time, the proposed Japan-Philippines petroleum reserve partnership strengthens the country’s long-term energy security outlook.The residential market remains selective. Metro Manila condominiums are still a buyer’s market, with around 74,000 to 75,300 unsold units. However, developer discounts, rent-to-own schemes and longer payment terms are creating attractive entry opportunities.Supply is also expected to tighten, with only about 3,600 new condo units annually from 2026 to 2028, far below the previous peak average of 13,000 units. Regional markets such as Cavite, Laguna, Cebu, Iloilo and Davao remain stronger performers, with projected annual appreciation of 5% to 7%.Industrial and Commercial Segments Lead GrowthIndustrial and logistics remain the strongest investment theme. The New Clark City industrial hub is reinforcing the Clark-Pampanga corridor as a key manufacturing and logistics destination, while industrial rents have risen 45% since 2019.Commercial property is also improving. Office demand rose 70% year-on-year in Q1 2026, supported by BPO and IT-BPM expansion. Retail vacancy is expected to fall below 10% by end-2026, while hospitality is benefiting from flight surcharge cuts and route restoration. OutlookThe Philippines market is not without challenges, but its fundamentals remain strong.With 115 million people, record OFW remittances, infrastructure expansion and improving energy stability, H2 2026 could mark a clearer recovery phase. Industrial assets, Clark-linked logistics, regional residential corridors and prime income-generating assets are likely to remain the best-positioned opportunities.Download to see insights from other country marketsDownload

Global Economy Faces Pressure, But Growth Remains IntactThe global economy is moving through a more uncertain phase in 2026, mainly due to the Middle East conflict, higher oil prices and rising living costs. These pressures have made fuel, food and daily expenses more expensive in many markets.Even so, global growth remains positive. The IMF expects the world economy to grow by 3.1% in 2026, slightly lower than 3.4% last year, but still resilient under current conditions.Investors are also becoming more defensive. Gold has risen by more than 44% over the past year and is now trading at around US$4,830 per ounce, showing continued demand for safe-haven assets.At the same time, technology remains one of the strongest global investment themes. In Q1 2026, investors placed a record US$300 billion into startups worldwide, with around US$242 billion directed into artificial intelligence companies. Major technology firms are also expected to spend more than US$527 billion this year on AI infrastructure. Asia Remains the Growth CentreFor regional investors, Asia remains a major bright spot. Developing Asia is expected to grow by 5.1% this year, making it one of the fastest-growing regions globally.Malaysia, Thailand and Vietnam are benefiting from technology-related investment, while Asia Pacific real estate investment reached US$47 billion in Q1 2026, up 31% year-on-year.Rental yields across Southeast Asia and Turkey remain attractive at around 5% to 8.5%, compared with 3% to 4% in many Western markets.OutlookThe practical message for investors is to stay calm, diversified and focused on long-term fundamentals.A balanced strategy may include maintaining cash reserves, holding defensive assets such as gold or fixed income, and selecting real estate in high-growth markets. In a fast-changing world, informed and patient investors are likely to find the strongest opportunities.Download to see insights from other country marketsDownload

Malaysia Housing Market Shows Firmer Prices on Lower VolumeMalaysia’s housing market is entering mid-2026 with firmer prices, even as transaction activity slows.According to NAPIC/JPPH’s Q1 2026 data, overall property transactions fell 8% year-on-year to 89,966, while transaction value slipped only 0.6% to RM51.09 billion. This suggests a more controlled market rather than a broad contraction.Pricing remained positive. The Malaysian House Price Index rose 1.7% to 235.2 points, while the average home price increased to RM507,533, up from RM494,384 in Q3 2025.By property type, terraced and semi-detached homes led growth at 2.2%, followed by high-rise units at 1.3%. Detached houses dipped 0.7%, showing that demand remains more selective across different segments.The interest rate environment remains supportive, with Bank Negara Malaysia keeping the OPR at 2.75% in May 2026. Inflation also remained manageable, with headline inflation at 1.6% and core inflation at 2.1% in Q1 2026. OutlookMalaysia’s property market is expected to remain selective in the second half of 2026.The main challenge is still unsold supply. Residential overhang exceeded 32,000 completed units worth RM16.37 billion, while unsold serviced apartments reached 19,263 units worth RM16.52 billion.New launches are also being moderated, with 9,112 residential units launched in Q1 2026 and a take-up rate of only 11.5%. This points to cautious buyer sentiment, especially as many buyers continue to face mortgage approval challenges.Looking ahead, landed homes, transit-oriented locations and areas linked to the Johor JS-SEZ and RTS Link are likely to remain more resilient. Oversupplied high-rise and serviced-apartment pockets may continue to give buyers stronger negotiating power.Download to see insights from other country marketsDownload

Chinese Buyers Continue to Lead Australia’s Foreign Home InvestmentChinese buyers remain the leading foreign buyer group in Australia’s residential property market, even as overall foreign home investment cools.According to Australian Treasury data highlighted in the Juwai IQI Insight, buyers from China purchased more Australian residential property than citizens of any other country. Juwai IQI Co-Founder and Group Managing Director Daniel Ho noted that China ranked first by both the number and value of approved investment in every quarter.Other key buyer sources include Taiwan, Vietnam and Hong Kong, with demand mainly driven by migration, education and lifestyle.Juwai IQI’s internal data also shows that Australia became the most popular global destination for Chinese buyers in Q1 2026, moving up from second place in 2025. The next most popular destinations were Thailand, the United Kingdom, the United States and Malaysia.Education and Migration Remain Core Demand DriversEducation remains one of the strongest reasons behind Chinese buyer interest in Australia. More than 35,000 Chinese citizens moved to Australia in 2025, while around 730,000 Australian residents were born in China.In the first quarter of FY2026, Chinese buyers accounted for 234 of 799 approved residential investments. The value of approved Chinese residential investment reached about $2.6 billion in FY2024, around $1.4 billion in FY2025, and roughly $0.8 billion across the first three quarters of FY2026.This shows that while investment volumes have moderated, the underlying connection between China and Australia remains strong. Chinese companies are also the third-biggest source of approved foreign direct investment in Australia. OutlookChinese demand for Australian property is likely to remain resilient, especially where it is linked to education, migration and long-term lifestyle planning.For developers and agents, Australia’s appeal to Chinese buyers remains clear, but stronger targeting and trusted market positioning will be essential as foreign investment becomes more selective.Download to see insights from other country marketsDownload

Italy’s Residential Market Gains MomentumItaly’s residential market entered mid-2026 with stronger pricing and sales activity. House prices rose 1.0% quarter-on-quarter and 5.2% year-on-year in Q1 2026, supported mainly by existing homes, which increased 1.5% over the quarter.Transaction activity also improved. Residential sales rose 4.4% year-on-year in Q1 2026, a clear acceleration from the previous quarter. This follows 766,756 transactions in 2025, one of the strongest annual performances of the past decade.Growth remains uneven across major cities. Milan led with 6.3% year-on-year price growth, followed by Rome at 5.0% and Turin at 3.6%. Rental yields also remained attractive, with average gross yields at 7.23% in January 2026. Investment Demand Remains SelectiveItaly’s investment market also showed strong momentum, with total investment volume reaching €12.5 billion in 2025, up 23% year-on-year. Foreign capital accounted for 58% of total investment, mainly targeting retail, hospitality, industrial and logistics assets.However, investors are becoming more selective. Demand is strongest for premium, liquid assets, with prime office yields in Milan around 4%. Limited supply of Grade A and energy-efficient stock continues to support competition for quality assets.OutlookItaly’s 2026 outlook remains positive but disciplined. Residential demand should stay supported by major cities, rental income and continued interest from international buyers.At the same time, higher energy risks, inflation pressure and steady ECB rates may keep investors cautious. The strongest opportunities are likely to be in well-located residential assets, student housing, logistics and high-quality buildings that meet modern efficiency standards.Download to see insights from other country marketsDownload

The Strait of Malacca Moves Into Sharper FocusThe Strait of Malacca is once again drawing attention as global markets reassess the importance of major maritime trade routes.After Iran’s closure of the Strait of Hormuz in late February 2026, investors and policymakers have become more alert to the risks surrounding key shipping corridors. For Southeast Asia, any disruption in the Strait of Malacca could carry wider implications, affecting energy flows, industrial supply chains and logistics costs.Regional developments have added to this uncertainty. In mid-April 2026, the US and Indonesia signed a Major Defence Cooperation Partnership focused on capacity building, training and operational cooperation. Although Indonesia later ruled out the idea of transit fees, the brief discussion still contributed to higher shipping insurance premiums. What This Means for Malaysia’s Property MarketFor Malaysia, the Strait of Malacca is more than a maritime route. It is closely linked to trade, ports, manufacturing activity and logistics movement.If shipping through Malacca is disrupted, businesses could face higher import and logistics costs. This may influence tenant demand, industrial activity, investor confidence and commercial property decisions, especially in locations connected to trade and supply chains.Security concerns are also evolving. Risks now go beyond traditional military threats and include cybersecurity, regional competition and emerging operational challenges. This means market players may need to think more carefully about resilience, cost planning and long-term location strategy.OutlookThe Strait of Malacca remains calm, but the stakes are rising.For Malaysia’s property market, the immediate impact may be limited, but prolonged uncertainty could affect business sentiment and logistics-driven demand. In 2026, investors should watch how maritime security, shipping costs and regional cooperation develop, as these factors may increasingly shape industrial and commercial property outlooks.Download to see insights from other country marketsDownload

NCR Residential Market Shifts Toward Branded DevelopersIndia’s National Capital Region (NCR) residential market is entering a new phase, led by the rising presence of national developers and stronger buyer preference for trusted brands.Between 2022 and Q1 2026, leading national developers launched more than 15,000 residential units across NCR. This reflects a clear shift in buyer expectations, with purchasers placing greater value on timely delivery, stronger governance, superior amenities and execution trust.Major national players are also reshaping the competitive landscape. In the NCR launch share, Godrej Propertiesaccounted for 47%, followed by Prestige Group at 27%, Sobha Ltd at 10%, and others at 16%.Infrastructure is a major growth driver. Projects such as the Dwarka Expressway, Noida International Airport, Delhi-Mumbai Expressway, RRTS, Sohna Corridor and expanding metro networks are improving connectivity and opening up new residential corridors across NCR. These developments are making previously peripheral locations more attractive to both end-users and investors. Premium and Luxury Homes Lead New SupplyNational developers are focusing heavily on the premium and luxury segments, where larger apartment layouts are becoming the norm.Average unit sizes across new launches now stand at around 1,830 sq ft for 3BHKs, 2,600 sq ft for 4BHKs, and over 4,400 sq ft for 5BHK residences. This points to stronger demand from affluent buyers seeking lifestyle-led communities, larger living spaces and better project quality.Gurugram remains the leading launch market, accounting for 47% of national developer launches, followed by Ghaziabad at 27%, Noida at 13% and Greater Noida at 12%.OutlookNCR’s residential market is likely to remain driven by branded supply, infrastructure growth and rising buyer expectations.As competition increases, overall standards in design, transparency and delivery should continue to improve, ultimately benefiting NCR homebuyers.Download to see insights from other country marketsDownload