With negative real interest rates persisting and the pace of interest rate increases likely to slow, the Hong Kong residential market has stabilised in Q2 2016 despite growing economic worries over Brexit.
Home sales reach an 18-month high as new launches draw strong buying interest.
The residential market witnessed a peak in both transaction prices and volumes in 1H/2016, due to the cancellation of purchase restrictions. The western part of the city enjoyed the largest increase in transaction prices.
Both residential transaction volumes and average prices rose in Q2/2016 due to a combination of favourable policies and the Spring Housing Fair
Shenzhen’s government unveiled new housing purchase restrictions in March leading to a slow sales volume in Q2 2016.
Guangzhou’s residential was active in the second quarter of 2016, with both sales volume and average price increasing.
At the tail end of Q1 2016, tighter restrictions on house purchases were introduced to first-tier cities in Shanghai and Shenzen in an attemot to curb speculative investment. In spite of the continued growing sales prices, we are not likely to see these restrictions occur in Beijing's residential property market.
Joanne Lee, from Colliers International, explores the Hong Kong market.
E-Commerce giants continue to take up the majority of leasing demand within Tianjin industrial district.
Domestic investors have become the top bidders in the early stages of negotiation in recent deals.
On the back of stimulation policies by the government, followed by the loosening of housing loans and cutting of interest rates five times this year, Beijing’s mass-residential market remained positive in the last quarter of 2015.
Slowdown deepens as global economic uncertainty intensifies.
Joanne Lee, from Colliers International, explores the Hong Kong market.
Joanne Lee, from Colliers International, explores the Hong Kong market.