Knight Frank's Global House Price Index for the June quarter puts Australia in 11th place, up nine places from its 20th ranking in the March quarter.

Australia recorded 10.2 per cent annual growth to June, compared with 5.3 per cent the previous quarter, according to Knight Frank.

Related content: Sydney, Melbourne, Hobart climb Knight Frank global price-growth index

The survey, which was first collated in 2016, looks at the performance of housing markets in 55 countries, and ranks each country using official data from central  banks or national statistics offices.

Huge tourism numbers put Iceland in top place

Iceland topped the index for the second quarter in a row, with average prices rocketing a phenominal 23.2 per cent in the year to June 2017, up from 17.8 per cent last quarter.

Iceland's property market is being inflated by its huge tourism industry. The nation has a population of only 344,000, and a mere 130,000 dwellings. But a massive 1.7 million tourists visited the country last year, creating huge demand for accommodation.

Read Knight Frank's Global House Price Index here.

Despite three interest rate rises in Hong Kong in the last year, the country's property prices rose 21.2 per cent in the year to June, second only to Iceland's growth. 

New Zealand fell from third place last quarter, to tenth place, with annual growth of 10.4 per cent.

Property price growth in China was down slightly, coming in at 9.6 per cent.

Overall, the index showed slower growth

Overall, Knight Frank's Global House Price index recorded a rise of 5.6 per cent for the year to June 2017, down from the 6.5 per cent recorded last quarter. Forty-nine of the 55 markets tracked recorded flat or positive price growth for the year.

Knight Frank Global House Price Index, Q2 2017

Ranked by annual per cent change