Stats point to property deals falling

PUBLISHED : Sunday, 18 July, 1993, 12:00am
UPDATED : Sunday, 18 July, 1993, 12:00am

THE number of sales and purchase agreements for building units recorded by the Land Registry fell 6.4 per cent in June to 12,807 transactions from the 13,678 registered a month earlier, further dampening hopes of a property market recovery.

There was also a decline in the number of agreements registered for the sale and purchase of land. The figure of 339 transactions for June is also 6.4 per cent less than May total of 362.

However, the volume of transactions soared sharply as June's figure for building units rose by 28.2 per cent to $43.44 billion from $33.87 billion a month earlier, while that for land sales went up 76.4 per cent from $5.41 billion to $9.55 billion.

Analysts say this is a sign that there is still pressure to send prices skyrocketing.

''This is beginning to cause some concern to the government [over escalating prices],'' said the analyst.

Earlier this month, Hongkong Bank raised the ceiling on mortgages for the luxury market to 60 per cent from 70 per cent, believing that the move would slow rocketing prices.

The rise in volume of land sales to $9.55 billion was 76.7 per cent higher over the same month last year. The figure of 339 in land sale and purchase agreements transacted was also 26.6 per cent lower than June last year.