Hong Kong home rents are expected to continue rising in the second half of 2023 even as the volatility in home prices persists, Cushman and Wakefield said.
The city’s housing market initially witnessed a recovery in prices after the border with mainland China was reopened in February, according to a report released by Cushman on Thursday.
The prices of lived-in homes have recorded a cumulative increase of 4.9 per cent over the last five months, even after the price index recorded its first decline in May and fell by 0.7 per cent, the report said.
But persistent high interest rates, recent stock market volatility and geopolitical tensions are all weighing on sentiment and are expected to dampen a recovery in residential prices, said Rosanna Tang, executive director and head of research at Cushman.
The leasing market, on the other hand, has reported growth since the reopening of the border, and has also benefited from a pledge made by the Hong Kong government to attract more talent to the city with its Top Talent Pass Scheme, Tang said.
Source: SCMP
