Midland expects property prices to rise 5% in the second half of the year

Hong Kong is shrouded in political and economic gloom, but property prices are supported by rigid demand, and property prices have repeatedly broken. Bu Shaoming, chief executive of Midland Real Estate, expects that property prices will continue to rise in the second half of the year, but the highs will continue to rise and fall. It is estimated that there will be a 3% to 5% increase, which will increase the annual property price by 12% to 13%.

Bu Shaoming said that both the first-hand and second-hand residential properties were strong in the first half of the year. In the first two quarters, the first-hand private residence recorded about 12,466 transactions. In the second quarter, as many as 7,139 first-hand transactions were registered, after the first quarter of 2004. In the past 15 years, it has been at a new high. The second-hand market recorded approximately 14,400 registrations in the second quarter of this year, a sharp increase of approximately 56% from approximately 9244 in the first quarter. The property market sentiment was driven by the new disk. The property price index of the first half of the year rose 8.29%.

More than 10,000 new units are expected to debut

He estimated that more than 11,000 new players will have a chance to appear in the second half of the year. If the pace of development is unchanged, it is believed that the number of private residential registrations in the year will reach 20,000 to 21,000, an increase of about 30% year-on-year. 15 years high. The increase in second-hand transaction volume will be less than the new one. It is estimated that there will still be about 45,500 cases, an increase of about 5% year-on-year, and an opportunity to hit a five-year high.

Liu Jiahui, chief analyst of Midland Realty, pointed out that the imbalance between supply and demand in the property market continued. It is predicted that the number of private housing completions in 2019 and 2020 will exceed 20,000, but from 2021 to 2023, supply will fall to an average of less than 18,000 a year. As a number of plans to increase land supply will be postponed due to political disputes, medium- and long-term supply may be in short supply.

Bu Shaoming added that although the second half of the year is still subject to a number of uncertainties in the internal and external sectors, recent political events have not affected the public’s confidence in entering the market. I believe that property prices will rise and fall, and in addition to insufficient supply, interest rates remain low and rigid demand is strong. Also the main cause.