House Prices slowing at last...
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House Prices slowing at last...
This from Property website:
+ Prices on HK island dropped by 2 percent, versus 0,4% in the NT
+ Overall prices fell 0.3% in the week, versus -0.4% the week before
Ricacorp expects a surge in transactions this week, as buyers respond to some lower pricing,
which David Chan of Ricacorp expects to be 0.5% lower for the week.
NOTE: -0.4%, -0.3%, -0.5%, that's quite a string of falls.
Still the mass market is expected to make some good gains this year. Luxury not so much...
+ Prices on HK island dropped by 2 percent, versus 0,4% in the NT
+ Overall prices fell 0.3% in the week, versus -0.4% the week before
Ricacorp expects a surge in transactions this week, as buyers respond to some lower pricing,
which David Chan of Ricacorp expects to be 0.5% lower for the week.
NOTE: -0.4%, -0.3%, -0.5%, that's quite a string of falls.
Still the mass market is expected to make some good gains this year. Luxury not so much...
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Krone
perhaps you and this PPrune member should get married - you'd be the perfect pilot couple!
http://www.pprune.org/forums/showthread.php?t=318796
Congratulations,
N1 Vibes
perhaps you and this PPrune member should get married - you'd be the perfect pilot couple!
http://www.pprune.org/forums/showthread.php?t=318796
Congratulations,
N1 Vibes
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HONG KONG (XFN-ASIA) - Housing prices and sales volume in March dropped significantly compared with previous months as homebuyers held back on purchases amid soaring prices and volatility in the stock market, The Standard reported citing property analysts.
The newspaper cited Centaline Property Agency executive director Louis Chan as saying that housing sales volume in March fell 50 pct while prices declined 3 to 5 pct compared with levels in January.
Chan said Centaline's commissions from housing transactions fell to 130 mln hkd from 230 mln in January.
Xavier Wong, head of research at property consultants Knight Frank, said investors were delaying their entry into the housing market after seeing limited room for housing prices to rise further.
Midland Realty said 37,412 apartments were sold in the first quarter, down 9 pct from the fourth quarter of 2007
The newspaper cited Centaline Property Agency executive director Louis Chan as saying that housing sales volume in March fell 50 pct while prices declined 3 to 5 pct compared with levels in January.
Chan said Centaline's commissions from housing transactions fell to 130 mln hkd from 230 mln in January.
Xavier Wong, head of research at property consultants Knight Frank, said investors were delaying their entry into the housing market after seeing limited room for housing prices to rise further.
Midland Realty said 37,412 apartments were sold in the first quarter, down 9 pct from the fourth quarter of 2007
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Ill just chip in my twopennys worth then
http://www.852realestate.com/propertynews/
http://www.852realestate.com/propertynews/
The HKG market is amongst the most expensive in the world.Actually if you look at the crap quality/architecture/environment you get for your money it probably is the most expensive in the world.
The problem this bring is how do you value something? Everywhere else you can compare it to other cities or even other countries - not here. Therefore value here is purely subjective and based on how we all feel when we get up in the morning/stockmarkets/mainland nouveau riche investors/ banking sector bonus for the quarter etc etc etc.
This is all very well if you are a speculator. However if you just want to buy a good house ( sorry - flat - since there hardly are any houses here ) to live in for 15 years or so you are going to have a hard time.
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Krone is right... the housing market in HKG is not a free one but regulated by the government (?) through the land sale scam and the issuing of occupancy permits for new estates. Allegedly when prices look a little shaky, less land for sale and time for the occupancy permit seems to extend and extend, when prices rise or firm, then the taps get turned on again. This, together with the alleged cartel amongst the major constructors and the tremendous population pressure at the bottom of the market, ensures that (with the exception of a major world wide event like the Asian financial crisis) Krone will be able to stick two fingers up to CX long before the rest of you..........good for him!!! 
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Government manipulation is a worry for the HK property market, but the fact is that rental rates in HK have been consistently high for many years. This distinguishes the HK market from others in the OECD, where rental rates are much lower. If we take Australia/NZ, UK (except central London), US (except Manhatten), and Canada, it's a lot cheaper to rent than to buy. But it doesn't appear to be that way in HK. It's more expensive to buy, but not that much more.
The high rents charged, and paid, in HK indicate that the demand is definitely there. The Chinese government might be many things, but it isn't stupid: HK is vital to China.
The high rents charged, and paid, in HK indicate that the demand is definitely there. The Chinese government might be many things, but it isn't stupid: HK is vital to China.
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The fact is that all companies wordlwide need loans to operate - the current credit crunch will take a while to be felt across all sectors. But the price companies pay for loan currently will seriously impair operations.
For now, investment banks have immediately felt the pain (they carry USD XXX Bions of credit derivatives in their books that they mark to market every quarter), but one can expect the credit crunch to invade all sectors in the nxt couple years.
Once this happens, and once China turns to more prudent economic policies after the Games, who will be there to drive up property prices up?
Not the 4,000 Merril Lynch bankers, not the 2,000 Credit SUisse bankers that were sacked...and those who still have a job will be happy to just get decent salaries, forget about those 2006-2007 bonuses that contributed to the housing bubble. (BTW, most Investment banks are on a hiring freeze)
As for wealthy private individuals, their stock portoflios are like -50/60% and are busy enough trying to protect their wealth without even thinking about flipping properties.
For those who fly airplanes, dark clouds ahead - the current oil prices will not make aviation an easy industry to work in. Suggest you rent for now i/o buying till skies get clear again.
For now, investment banks have immediately felt the pain (they carry USD XXX Bions of credit derivatives in their books that they mark to market every quarter), but one can expect the credit crunch to invade all sectors in the nxt couple years.
Once this happens, and once China turns to more prudent economic policies after the Games, who will be there to drive up property prices up?
Not the 4,000 Merril Lynch bankers, not the 2,000 Credit SUisse bankers that were sacked...and those who still have a job will be happy to just get decent salaries, forget about those 2006-2007 bonuses that contributed to the housing bubble. (BTW, most Investment banks are on a hiring freeze)
As for wealthy private individuals, their stock portoflios are like -50/60% and are busy enough trying to protect their wealth without even thinking about flipping properties.
For those who fly airplanes, dark clouds ahead - the current oil prices will not make aviation an easy industry to work in. Suggest you rent for now i/o buying till skies get clear again.
