Property transactions fell about 40 per cent last month from January, due to a drop-off in sales around Lunar New Year.
Property agencies, based on Land Registry records, estimated there were about 4,500 transactions last month, compared with 7,293 in January.
Total value of the deals fell about 45 per cent month on month from HK$14.63 billion to HK$8.1 billion.
'The Lunar New Year is a traditional low market and Chinese people usually avoid making important decisions like buying flats around the year-end,' said Patrick Chow Moon-kit at Ricacorp Properties.
A potential war between the United States and Iraq, the Hong Kong government's intention to raise fees and taxes and cut the salaries of civil servants also had a negative impact on home-buyers, Mr Chow said.
'We have clients, who were originally going to make a purchase, who cancelled their plans and adopted a wait-and-see attitude,' he said.
