A SQUEEZE on mortgage lending by Hong Kong's big banks sent property sales and purchase agreements tumbling 38.6 per cent in September, compared with August.
The Land Registry recorded 9,025 transactions in September - a dramatic fall from a monthly high of 19,283 in July.
The sharp slowdown in activity has caused property price rises to slow across the board.
This confirms forecasts reported in Monday's South China Morning Post.
The Jones Lang Wootton Property Index released this week showed the average price of medium and large flats rose just 2.24 per cent between July and October, compared with 15.2 per cent over the second quarter.
Capital value growth in the office sector has been similarly hit. Prices rose just 6.95 per cent last month compared with a 16.72 per cent rise between April and July.