,Hong Kong

Why Hong Kong homebuyers’ sentiment cooled down in August

Home sales declined 27% to 5,546 units during the month.

Buying sentiment was lacklustre in August, and JLL says this is because prospective buyers are being more cautious as home prices approach the previous peak. Monthly home sales dropped by 27% m-o-m to 5,546, compared to the 7,579 transactions in the previous month. 

Despite the significant drop in sales momentum, JLL says mass residential capital values further grew by 0.5% m-o-m in August, similar to the 0.6% growth recorded in July. 

Here’s more from JLL:

Continuing the trend from last month, launches of primary projects remained limited in August. However, sell-through rates of projects introduced were generally improved. All of the 602 units on offer at 'Wetland Seasons Bay (Phase 1)' in Tin Shui Wai, developed by Sun Hung Kai Properties, were sold on the first day of two rounds of launches. Meanwhile, 'The Met. Azure' in Tsing Yi, developed by Wang On Properties, sold about 70% of the 252 units launched in one week. 

Among the notable luxury transactions, an apartment at '8 Deep Water Bay Drive' at Repulse Bay was sold for HKD 345.6 million or HKD 82,000 per sq ft, SA. • In the Government land sales market, a residential site (Lot 1677 in DD 115) in Yuen Long was awarded to CK Asset for HKD 716 million or HKD 9,112 per sq ft, SA.


Join Realestate Asia community
Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!

New home sales dropped 31.4% during the month.
This is due to elevated supply levels and uncertain demand from the Mainland.
The growth will be more prominent in Japan, Australia, and Hong Kong.
There were 17 major deals worth over US$12.8m each.
Private equity investors’ interest in offices will drive investment demand.
Savills expects rents of outlying business parks to bottom out soon.
Data centres accounted for 34% of all investments during the quarter.
Luxury brands are still wary of going to the high streets.
Q3 Grade A office rents increased 0.7% for the first time in five quarters.
Average multifamily asking rents dropped 3.6% over the year. 
Rents declined in all major submarkets while Kowloon rents proved more resilient.
Sales were propelled by the residential sector.
22% of all residential launches in H1 2021 were from the affordable segment.
But Colliers says transactions may pick up in Q4.