Centaline Property Agency managing director Shih Wing-ching says the property market has yet to bottom out but the stock market's recent strength will help home prices to stabilise.
He said the recent rise in home prices and transaction volumes was considered a 'technical rebound' after prices halved from the peak last year.
Home transaction prices had increased by 5 per cent to 8 per cent since a 0.25 percentage point cut in interest rates two weeks ago, he said.
He expected strong buying interest would return if interest rates were cut by another 0.25 percentage point in the short term.
Sentiment had improved after the stock market and currency stabilised, he said.
He supported the resumption of government land sales in April, but said the decision should be made for the benefit of the public rather than developers.
