Hong Kong property rents drop for the first time after continuous climb over the past year

Posted: Apr 22 2015Last Updated: Apr 22 2015

22 April 2015 - Many home seekers will be glad to learn that Hong Kong home rentals recorded a drop in March for the very first time in over a year. This trend is expected to persist in the second half of the year, with a larger number of new developments expected to be launched in those months.

According to Centadata, secondary home rentals at 100 major estates logged a 0.6% fall, from $33 per sq.ft. to $32.8 per sq.ft. Irrespective of the tiny scale of this drop, some analysts see this as a prelude to a further decrease in property rentals, and even property prices.

"The property market this year may see surplus supply for the first time in three years," said Alfred Lau, an analyst at Bocom International. He predicts that property rentals will either remain constant or decline by 5% this year.

However, Credit Suisse analyst Joyce Kwok believed that home rents are greatly affected by seasonal factors and conclusions cannot be drawn until the summer peak season hits.

You May Also Like

Despite the Current Coronavirus Crisis, Real Estate Experts Don’t Foresee Prices Fal

12 March 2020 - Amidst the black-swan emergence of the coronavirus, rather than simply state my own views about the potential impact on property prices, I want to also summarize what various real estate experts across different parts of the industry
By: Joshua Han Miller

7 Tips to Consider if You Plan to Sell Your Home in Hong Kong

5 October 2020 - Events over the past year or so have contributed to significant economic turmoil in Hong Kong and by extension seriously upset the once predictably expensive local home property market. As a result, increasing numbers of homeowners
By: OKAY.com
More Insights

Tight on time? Let us do the searching for you!

OKAY.COM - iOS App StoreOKAY.COM - Android Play Store
Let's Connect
15/F, Wilson House, 19-27 Wyndham St., Central, Hong Kong
+852 2102 0888
Do you want to login
You already have an account with us? How about logging in?