Uncertain factors in the second half of the year
Property prices continued to rise in the first half of the year. First, second-hand trading was booming. Banks increased their rebates and cash prizes in many ways. The number of resales in the past six months has remained at a high level of over 30% of the total mortgages. Cut back the rebate, the industry is expected to cool down in the second half of the year.
In recent years, Hong Kong banks have continued to have a low interest rate environment. Even though the rate hike cycle was launched in September last year, most banks only raised interest rates by 0.125%. Only two banks raised interest rates by 0.25%. The mortgage interest rate remained at a low level of about 2.375% to 2.5%. . In the first half of the year, the property market was improving. The bank also increased the number of customers to attract different customers. In addition to the highest cash return, the highest level was 2.15%. It also increased the cash rewards and increased the number of high-interest deposit-linked accounts. Increase the mortgage agent commission and other forms to maintain market share and business volume.
In the first five months of this year, 11,700 resoundings were recorded.
As a result of the low interest rate and a large number of concessions, the market has been very active in recent years. According to the Land Registry and the Central Plains mortgage information, more than 37,000 re-entry records were recorded in 2018 last year, the highest in about 8 years. The amount involved was about 135.45 billion yuan, a record high. In the first five months of 2019, the total number of re-acquisitions was 11,700, which was about one-third of last year’s figure. When the ratio of transit to total mortgages lasts for more than 30%, even up to 50%.
With the increase in external uncertainties in the second half of the year, the bank’s mortgage attitude has turned cautious this month. Some large banks have taken the lead in raising interest rates and repaying gifts. It is reported that the recent low-key will be transferred to the commission from about 0.3% to 0.25%. It is expected to be hot. The market will be cooled down.
The Central Plains mortgage pointed out that banks have the opportunity to adjust mortgage offers, and believe that there will be opportunities to promote the transfer of the tail bus in the short term. The Meridian Mortgage expects that there will be a chance to fall by 5% to 10% in the future, and it will not rule out that the bank will adjust the new mortgage offer.