A motorway is seen in a gap between residential buildings (left) and a hotel (right) in Hong Kong on May 12, 2021. (ANTHONY WALLACE / AFP)
Hong Kong’s residential market prices are expected to rise by 5 to 10 percent next year with the expected border reopening, according to global real estate services firm Cushman & Wakefield.
The residential market in Hong Kong has been active in 2021, with year-round transaction volume seen reaching 74,600 units, a nine-year high, the firm said.
The total annual transaction volume for 2021 is estimated to increase 67 percent to HK$80 billion ($10.3 billion) compared with 2020
It also predicted that the market will remain robust next year, but the transaction volume might drop around 10 percent in 2022 because of the base effect, according to the firm.
The total annual transaction volume for 2021 is estimated to increase 67 percent to HK$80 billion ($10.3 billion) compared with 2020.
As for the property market in the Guangdong-Hong Kong-Macao Greater Bay Area, the annual transaction volume is expected to reach 60 billion yuan ($9.43 billion) with a year-on-year increase of 9 percent, the second-highest by total volume in the last five years.
Meanwhile, most of the commercial property investment flowed into Shenzhen and Guangzhou, which together took about 98 percent of the total GBA investments, the firm said.
“Homes in Shenzhen and Guangdong remain the most expensive amongst the mainland GBA cities, while Foshan, Dongguan and Zhongshan are catching up with double-digit growth,” Alva To, Cushman & Wakefield’s vice-president, Greater China, said in a press conference on Tuesday.
The total GBA investment volume next year is expected to remain the same as it was in 2021, with the region’s investment market continuing to mature, said Queeny So, Cushman & Wakefield’s executive director of capital markets for Greater China.
“Investment opportunities on property are gradually expanding to other cities beyond Shenzhen and Guangzhou, with further investment activities expected,” So said.
More foreign investors are also exploring investing in the region, with 49 percent of the total investment volume in 2021 coming from foreign capital, compared with 17 percent in 2020, she added.
Copyright 1995 - 2022. All rights reserved. The content (including but not limited to text, photo, multimedia information, etc) published in this site belongs to China Daily. Without written authorization from China Daily, such content shall not be republished or used in any form.
HONG KONG NEWS