Hong Kong’s new home sales thrive in June, reach 13th month high

Government data showed the sales volume grew by 92 percent month on month 

Residential area of Hong Kong West. GormaKuma/Shutterstock

Data published by the Land Registry revealed that the sales of new homes in Hong Kong reached the 13th month high, having surged 92 percent month on month to 2,316 units in June, reported the South China Morning Post.

Developers’ improved marketing efforts and huge discounts prompted the increase in buyers amid uncertainties over the pandemic and the rising tensions between the US and China.

The value of transactions also reached the 13th month high to HKD70.59 billion (USD9.1 billion), which grew for the fifth consecutive month.

More: Navigating the property industry amidst growing tensions between China and Hong Kong/Australia

However, market analysts speculate that the growth won’t continue because of rising concerns over the effect of the recently implemented national security law.

“The impact of the law on US-China relations and the reaction of the local community has to be observed for some time. We do not rule out the possibility of some buyers taking a cautious approach,” said the head of research at Ricacorp Property Derek Chan.

The real estate agency also predicted that new flat sales won’t surpass the 2,000 mark in July, assuming developers will start to reduce the marketing of new projects.