Hong Kong’s secondary property market braces for shift after strong first half
Secondary residential market faces uncertainty following a strong first half, as Beijing’s capital outflow crackdown cools sentiment
According to data from Centaline Property, the secondary residential market recorded 26,813 transactions totalling HK$212.24 billion (US$27.07 billion) in the first half of this year. The volume and total transaction value reached a five-year high, increasing by 25.5 per cent and 34.1 per cent respectively compared with the second half of last year.
The Centa-City Leading Index (CCL) – a frequently used benchmark showing general price trends in the secondary residential market provided by Centaline Property – rose by 15 points to 160.77 in the first half of the year, reflecting a marked warming of the secondary market.
However, real property agents across various districts in Hong Kong pointed out a sudden slowdown in secondary market transactions at the start of the second half of the year.
One buyer, surnamed Fok, recently set her sights on a 1,431 sq ft unit at Provident Centre in North Point. The owner was keen to sell and had set an asking price of HK$19.5 million. However, Fok took a cautious approach and insisted that she could offer no more than HK$18.5 million.