Hong Kong Property Offers Value for Bargain Hunters
Homes in housing estates catering to middle-income earners offer the best value for bargain hunters in Hong Kong with prices headed for their first drop in 12 years, industry analysts said.
Increasing emigration, coupled with shrinking headcounts at multinational companies in the city, could ensure they continue to remain a buyers’ market. The same factors could also depress rates of higher-priced homes.
The number of emigrants in the last year has risen, and those who are rushing to sell are more willing to negotiate and offer bigger discounts. Rents will also come under pressure as demand wanes. Home prices fell by 7.4 to 7.7 per cent in the period, compared with the citywide equivalent of 1.3 per cent based on the index from the Rating and Valuation Department.
Home prices in Hong Kong were little changed in the first 11 months of 2020, according to official data. The window for bargains may not last for long as prices may rebound later this year as efforts to contain the Covid-19 pandemic gain traction and vaccination drive accelerates. Hong Kong could exit from its worst recession this year.