DBS’ Carol Wu expects mainland home prices to rise faster than Hong Kong
China has clear rules on shipping capital outside of the mainland market but one of the great mysteries of the country’s outbound investment drama is how these rules don’t seem to apply to neighbouring Hong Kong, as witnessed in a new report by C&W. Also in the news today, DBS predicts big gains in home prices for China’s second-tier cities and Singapore asset owners still hope to cash in on the city’s property boom. Read on for all these stories and more.
HK Grabs 80% of China’s Outbound Deals in Q2
China’s financial tightening has crippled outbound real estate investment this year to its lowest level since 2015, even as investment towards Hong Kong outperformed and the city emerged as the only bright spot.
Mainland China’s outbound real estate investment in the first six months dropped by 37 per cent to US$9.9 billion, its lowest level since 2015, according to Real Capital Analytics and Cushman & Wakefield. Read more>>
HK Home Price Growth to Fall Behind Mainland Says DBS
Hong Kong’s soaring housing market is beginning to show signs of fatigue, an indication that it is likely to be overtaken by other Chinese cities in terms of price appreciation in the years to come, according to investment bank DBS.
Prices are unlikely to rise meaningfully in the second half, and slower annual growth rates are likely to be the norm for the coming decade in light of an already high price base, said Carol Wu, head of China and Hong Kong research at DBS Bank (Hong Kong) at a media briefing on Wednesday. Read more>>
Mixed-Use Site on SG’s Mohamed Sultan Up for Sale for S$30M
A development under construction at 21/23 Mohamed Sultan Road, consisting of an eight-storey residential block and adjoining commercial building, has been put up for sale by tender by its owner, a privately held investment holding company.
The indicative price for the property is about $30 million, said its sole marketing agent, Singapore Realtors Inc (SRI). SRI managing director Tony Koe said seven of the eight storeys are up for the apartment block, which will house 11 units and two penthouses at the rear. Read more>>
Condo Owners Take 2nd Swing at Collective Sale as SG Condo Market Cools
The Windy Heights condominium in Kembangan is having another stab at a collective sale, with some owners ready to cut the reserve price to attract buyers in a cooling market.
The move comes hot on the heels of a failed bid for the freehold District 14 development that ended in April without a successful tender being lodged. It also comes after tough new property cooling measures kicked in on July 6. Read more>>
Shenzhen Clamps Down Home Sale Policies
Shenzhen has slapped on more property purchase curbs as first-tier mainland Chinese cities show no sign of easing controls on the sector despite Beijing’s shift towards a more vigorous fiscal policy to boost growth.
The new measures announced on Tuesday to target property speculators included restricting property owners to sell their flats for three years after purchase, banning purchases by companies and organisations to plug a loophole to skirt current restrictions, and tightening loan policy for divorcees of less than two years amid a growing number of people using a divorce to secure more loans. Read more>>
JLL Picks Kochi as India’s Next Super City
Kochi has been rated as the top future mega city of India in a study by JLL, the professional services firm that specializes in real estate and investment management.
The study included 45 destinations including metros and non-metros from all major states across the country. Kochi had a promising future due to its strong economic fundamentals, current and proposed infrastructure and growth in real estate in the last few years. Read more>>
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