The impact of the trade war is still at the top of the property price
Sino-US trade war has deteriorated, but individual housing estates have broken down. Guan Guanzhao, director of the Guanyu Business and Economic Research Center, believes that the impact of trade wars is still there. The property market is weighing more volume than the top price. The transaction volume of the property has slowed down markedly, reflecting that the buyer’s confidence has weakened. If the trade war has not improved within a few months, the property market will peak and develop horizontally. He expects that the Central Plains City Leading Index will return to its highest level this week as soon as possible, and then peak at 190 to 192.
The gap between the New Territories and urban property prices has narrowed
For the current buyers to enter the market at the top price, he thinks that the last time the market fell is too short, and the decline is only about 10%. Some buyers think that they are risk-bearing, so they choose to enter the market now. Reproduce the broken deal, but when the trade war continues to deteriorate, it will gradually decrease.
In addition, Jones Lang LaSalle’s residential sales report pointed out that the price gap between small and medium-sized residential buildings with an area of 752 square feet or less on Hong Kong Island has significantly narrowed from 79% to 79% in the past five years. The price gap between the new medium and small-sized residential units in Kowloon and the similar new ones in the New Territories has also narrowed from 35% to 14% in the past five years.
Ma Anping, head of the research department of Jones Lang LaSalle, pointed out that the narrowing of the property price gap is based on the fact that the new supply of residential properties in the past five years mainly came from the New Territories. Under the government’s measures to suppress demand for home ownership, the first buyers switched to the primary market, while the new market price in the New Territories It is more affordable and easy to attract buyers, which will bring more purchasing power to the area. The group estimates that between 2019 and 2021, 55,700 small and medium-sized residential buildings will be completed, 60% of which will be located in the New Territories.