- Interest rate hikes and pandemic uncertainties slowed the secondary market in Q3, with transactions for the quarter expected to reach 11,600 deals, a fall of 22% q-o-q
- Home prices further declined across market segments in Q3, with mass and middle markets expected to experience more notable corrections
- A trend-down in COVID cases from September could see home prices bottom out and stabilize in Q4, although 2022 full-year transactions are still expected to drop by 35% y-o-y
HONG KONG SAR – Media OutReach – 15 September 2022 – Global real estate services firm Cushman & Wakefield announced its Q3 2022 Hong Kong Residential Market Review and Outlook today. Given the local epidemic situation, global economic instability, and interest rate hike cycle, home buyers turned cautious and held a wait-and-see attitude, exerting downward pressure on prices. Residential market momentum has moderated, and we now expect residential transaction numbers to drop 22% q-o-q to record approximately 11,600 deals in Q3 (Chart 1).
