More discounts urged as January property sales drop
Data from the Land Registry showed there were 5,817 sale and purchase agreements last month, 3.1 per cent fewer than December and 29.9 per cent lower than January last year.
Property sales plunged almost 30 per cent last month from a year ago and market observers say developers need to offer higher discounts to attract buyers.
Data from the Land Registry yesterday showed there were 5,817 sale and purchase agreements last month, 3.1 per cent fewer than December and 29.9 per cent lower than January last year.
The figures include the sales of flats, shops, car parks and industrial units.
Home sales fell 17.3 per cent from a year ago to 4,488, which were 3.8 per cent down from December.
"If developers are willing to offer discounts of 20 to 25 per cent for their new projects, end users will quicken their pace in returning to the market," said Louis Chan Wing-kit, the managing director for residential sales at Centaline Property Agency.
In the second-hand home market, Chan said a 15 per cent price drop would be enough to build buying confidence.
More projects should be put on sale this year after developers got used to the Residential Properties (First-hand Sales) Ordinance, imposed in April last year to regulate the sale of new homes.