(By Choi King-man)
Buyers' intends to enter the market are weak due to the holidays of the past Winter Solstice Festival on Sunday and the coming Christmas and New Year holidays, making the second-hand property transactions to continue at a low single-digit level on the past Saturday and Sunday. Statistics from the four major real estate agencies shows that there were only 3 to 4 transactions recorded in two days. Some agents have pointed out that the property market is slump near the end of the year, and the see-saw of both sides continues, also it is believed the trading will be active or there would be booming market after the Lunar New Year.
According to the statistics of Midland Real Estate Branch, in the past Saturday and Sunday (21st to 22nd), the transactions in the top ten second-hand blue-chip housing estates were recorded of 4 cases, down 33.3% weekly, and the number has been in single-digit level for seven consecutive weekends. Calculating based on 15 major housing estates, in the past two days, there were 6 transactions, down 50% weekly. The Chief Executive of the Midland Real Estate Residential Department, Po Siuming expresses, the owners of the listings houses generally observe the market outlook near the end of the year during the holidays of the past Winter Solstice Festival on Sunday and the coming Christmas and New Year holidays although the negative sentiment in the market was gradually digested, and they are not willing to drop prices sharply, so there is no breakthrough in trading.
Purchasing powers continue to accumulate, and there would be a booming market after the Lunar New Year.
The APAC Vice President and Residential Department President of Centaline Property which had recorded 3 transactions in ten leading housing estates in the past two days, Chen Wing-kit expresses, among the ten leading housing estates, only estates in Hong Kong Island had three transactions while that in Kowloon and New Territories recorded no transaction. House visitors were busy reuniting with their families during the past Winter Solstice Festival on Sunday and temporarily put off the house visiting activities, and buyers did not move since there is no further positive news in the market. He believes the property market is slump near the end of the year, and the see-saw of both sides continues, also the trading will be active or there would be a booming market after the Lunar New Year.
Po Siuming also believes that the market purchasing power continues to accumulate, which is expected to stimulate the market trading atmosphere to rise once a new large project is launched, and the second-hand transactions are expected to bottom out.
In two days, Ricacorp Properties recorded 3 transactions, the new low after the introduction of the new mortgage insurance measures.
The President of Ricacorp Properties, Liao Wai-keung also expresses, many funds remain on the sidelines due to the not completely subsided social events in Hong Kong although the first phase of agreement of the Sino-US trade war has been reached and the stock market is improving, and the second-hand property market trading intentions are weak affected by the Christmas and New Year holiday atmosphere.
Liao adds that the launch of the new projects has not stimulated the second-hand property market for the time being, and it is expected that the purchasing power of the market will not be released until the end of the long holiday. This company recorded the ten leading housing estates in the past two days of 3 transactions, down 1 case weekly, and the number not only has been in single-digital level for 7 consecutive weekends but also the new low in 11 weekends after the relaxation of mortgage insurance of Policy Address in mid-October.
The Chief Executive Officer of Hong Kong Property which also just recorded 3 transactions among the ten leading housing estates in the past Saturday and Sunday, Lee Chi-shing points out that, many second-hand property owners tend to wait and see the market development as Long Term Housing Strategy Steering Committee announced last week to reduced the total public and private housing supply target to 430,000 units coupled with the holiday factor, and they are strong on prices with some even choose to close the sales.
At the same time, new projects in various districts compete for customers at the end of the year by discounted market prices, so it is expected that buyers who intend to enter the market will turn to the first-hand property market, while the second-hand property owners who intend to sell may need to cut more to attract customers.
