Mortgages rose sharply last month, but analysts warned the 39.5 per cent increase in loans drawn down - to HK$8.6 billion - did not signal a turning point in the depressed property market.
'The mortgage numbers typically reflect S&P numbers [sales and purchase data published by the Land Registry], one month in arrears,' said CLSA head of regional property research John Saunders.
'So you are looking at the outcome of a jump for August sales - which was driven mainly by the release of the Park Island development by Sun Hung Kai, which sold some 2,600 units in one hit,' he said.
Salomon Smith Barney property analyst Robert Wong and Daiwa analyst Jonas Kan agreed that the loan data did not signal a turnaround.
Mr Saunders said last month's S&P numbers had risen to 6,858 from 5,620 in August, with primary sales up from 1,086 to 3,454. He expected October's S&P number to fall back to 6,000, split roughly half and half between primary and secondary sales.
The mortgage data released by the Hong Kong Monetary Authority (HKMA) also showed that the value of loans approved last month rose 19.6 per cent to HK$9 billion 'driven by a 75.3 per cent increase in primary market transactions'.
By comparison, the HKMA said, new approvals for refinancing loans and secondary market transactions declined by about 20 per cent during the month.