De-liang Liang: Property prices rise 10 to 15% throughout the year
DTZ believes that the proportion of second-hand transactions has recently increased substantially, reflecting the health of the property market. The forecast for property prices for the entire year will be maintained at a 10% to 15% rate.
This year’s property market activity is still active. David Tao, Vice President of Greater China Greater China and Director of Strategic Development Consultancy, Greater China, pointed out that an average of 7,000 transactions were completed during the first two months of this year, and the overall property price also rose by 5%. It is worth noting that in January and February, second-hand transactions accounted for more than 80% of total transactions, which was different from last year’s one-handed leadership, reflecting that transactions did not rely solely on developers providing high-quality mortgage concessions to support the healthy development of the property market. 15% forecast.
Dongji Commerce Building is expected to drop 5%
On the supply side, Zhao Jinquan, Head of Valuation and Consultancy Services Department of Asia Pacific at DDB, said that although the government plans to launch 27 residential sites next year to provide about 25,000 gangs, the supply of land in Hong Kong has not been sufficient in the past few years, and the supply is now back to normal.
As regards the commercial property market, the bank pointed out that the vacancy rate of commercial buildings in the core area remained at a very low level. On the contrary, there were more vacant floors in East Kowloon. This year, rents in the core area of the commercial buildings increased steadily while that in East Kowloon decreased slightly by about 5%.
In terms of shops, the bank believes that with retail sales slightly improving, rents in the core area will, after several years of adjustment, be expected to stop rising again this year.