Secretary for Transport and Housing Anthony Cheung Bing-leung said on Saturday that Hong Kong people should not "panic" and rashly buy flats.
He made the comments because many people selling homes have been marking up prices - as demand for properties surged after Wednesday’s policy address by Chief Executive Leung Chun-ying.
“People should not buy flats in a panic,” Cheung advised.
The housing chief stressed that the government would work to ensure a stable supply of flats. “Most of the working class need mortgages to buy homes and repay loans in instalments. They have to consider their affordability in the long run and future market changes,” Cheung said after a radio programme.
His remarks come a day after the Greenview Villa project by the Housing Society and revised Home Ownership Scheme (HOS) by the Housing Authority received an overwhelming public response.
Meanwhile, Secretary for Development Paul Chan Mo-po, discussing calls for the government to use sites on the land application list for subsidised housing, explained that eight of the 23 plots were too small for public housing or HOS flats.