Hong Kong realtors say property deals have increased after big policy moves

Record ID: 1769409

  • Title: Hong Kong realtors say property deals have increased after big policy moves
  • Date: 29th February 2024
  • Summary: HONG KONG, CHINA (FEBRUARY 29, 2024) (REUTERS) MAN WALKING PAST STOREFRONT OF PROPERTY AGENT SIGN ON STOREFRONT READING (Chinese): “PROPERTY TIGHTENING MEASURES HAVE BECOME HISTORY / THE PROPERTY MARKET HAS A NEW BEGINNING” VARIOUS OF MAN LOOKING AT PROPERTY PRICES POSTER INTRODUCING NEW POLICIES ON PROPERTY MARKET VARIOUS OF MIDLAND REALTY'S RESIDENTIAL DIVISION CHIEF EXECUTIVE, SHAMMY PO SPEAKING IPAD SHOWING LATEST PROPERTY TRADING TRENDS (SOUNDBITE) (Cantonese) CHIEF EXECUTIVE OF MIDLAND REALTY'S RESIDENTIAL DIVISION, SAMMY PO, SAYING: “However, looking at the current overall environment, the changes are completely drastic. Firstly, although interest rates have seemingly peaked, they still remain in a high-interest environment. Secondly, we have experienced several years of pandemic, and now the pace of economic recovery is not as expected. Moreover, the Hong Kong economy and economy in mainland China may not be as robust as before. So, considering these factors within the current environment, there has been a change in government policies. In fact, the government has also taken this into account, hence the complete scrapping of property tightening measures.” VARIOUS OF LISTS OF PROPERTY TRADES (SOUNDBITE) (Cantonese) CHIEF EXECUTIVE OF MIDLAND REALTY'S RESIDENTIAL DIVISION, SAMMY PO, SAYING: “Seeing the market's reaction to this signal is very positive. For example, if we take yesterday as an example, the transaction volume immediately showed an increase. We observed an increase in primary market transactions, with 28 transactions yesterday compared to 14 the day before, doubling in volume. As for the secondary market, we recorded a 50 percent increase in transaction volume. It's generally seen that buyers' confidence in entering the market has strengthened, accelerating the pace of market entry. Additionally, looking at yesterday's inquiry volume at our branches, it also doubled.” VARIOUS OF RESIDENTIAL BUILDINGS PROPERTY POSTER LISTING 570 SQUARE FEET APARTMENT FOR 6.08 MILLION HONG KONG DOLLARS ($780,000) / PROPERTY POSTER LISTING 1,103 SQUARE FEET APARTMENT FOR 14.38 MILLION HONG KONG DOLLARS ($1.84 MILLION) (SOUNDBITE) (Cantonese) 38-YEAR-OLD HONG KONG RESIDENT AND RESEARCHER, JOHNSON YING, SAYING: “I'm considering whether there are opportunities to invest in the property market or if there are better chances to exchange for a better place to live. Overall, I think these changes are positive in the short term. As for the long term, I'm not sure, but it also depends on the situation with the US interest rate hikes.” STOREFRONT OF PROPERTY AGENT VARIOUS OF POSTERS INTRODUCING NEW POLICIES ON PROPERTY MARKET (SOUNDBITE) (Cantonese) 38-YEAR-OLD HONG KONG RESIDENT AND CLERK, SILKY LEUNG, SAYING: “I own a house myself, and because it's for self-occupation, the new policy doesn't affect me much. If I need to sell the property in the future, this policy would actually be somewhat beneficial for me because it attracts more people to invest in the property market. If I were to sell now, at least I feel like there are buyers in the market, whereas before it was like an ice age with nobody willing to buy. But now, if I have a property to sell, I would be more optimistic about the prospects.” PEDESTRIANS CROSSING STREET RESIDENTIAL BUILDINGS IN WAN CHAI DISTRICT (SOUNDBITE) (Cantonese) 25-YEAR-OLD HONG KONG RESIDENT AND PHD STUDENT, KEVIN CHOW, SAYING: “There aren't many job opportunities for young people in Hong Kong right now, and the job market is very limited. Coupled with the immense pressure young people face in affording property, many are relocating to the north, mainland China or overseas, so I don't think the property market in Hong Kong will rise again.”
  • Embargoed: 14th March 2024 09:50
  • Keywords: Government Hong Kong Housing Market Property budegt policy
  • Location: HONG KONG, CHINA
  • City: HONG KONG, CHINA
  • Country: Hong Kong
  • Topics: Asia / Pacific,Budget/Taxation/Revenue,Government/Politics
  • Reuters ID: LVA001429429022024RP1
  • Aspect Ratio: 16:9
  • Story Text:Hong Kong's property market immediately celebrated the removal of decade-long curbs with a jump in transactions, property agents said on Thursday (February 29), as authorities made a concerted bid to boost the city's depressed real estate market.
    On Wednesday (February 28), Hong Kong removed all additional stamp duties, reversing an unsuccessful government push over the past decade to cool housing prices.
    The financial hub recorded 28 transactions in the new home market on Wednesday, compared to 14 the previous day and a daily average of four to five units last week, while the secondary market also saw a 50% increase from Tuesday (February 27). Home sellers also turned bullish, with some raising their asking prices by 3-5%, according to property agents.
    Some young people, however, said they would wait and see given lacklustre career prospects, low wage growth and prices still beyond the reach of many potential first-time buyers.
    (Production: Joyce Zhou)
  • Copyright Holder: REUTERS
  • Copyright Notice: (c) Copyright Thomson Reuters 2024. Open For Restrictions - http://about.reuters.com/fulllegal.asp
  • Usage Terms/Restrictions: None
Register