Hong Kong’s homes may set price record in one or two months as property buyers shrug aside talk of emigration, JPMorgan says
- Number of people selling properties is far smaller than the number of people buying them, US bank executive says
- Chances of setting record are very high, as home prices are ‘just 1 per cent to 2 per cent from their peak’
US investment bank JPMorgan said emigration has had little effect on Hong Kong’s property market, and that home prices were on course to set a record in a month or two’s time.
“The chances of breaking the record are very high, because [home prices are] just 1 per cent to 2 per cent from their peak,” said Cusson Leung, head of Asia property research at JPMorgan. Leung also said he expected prices will rise 5 per cent to 10 per cent this year.
Home prices and transaction volumes have kept rising, even if the wave of emigration was real, Leung said. He questioned the impact of emigration on the market and wondered whether the people said to be leaving owned homes, and how many would actually sell their properties.
“This proves that the number of people selling properties is far smaller than the number of people buying properties,” he added.
Home seekers might have already missed the golden window for snapping up a cheaper home, seen late last year
The US bank is not alone in expecting an increase in Hong Kong home prices.
