The September Hong Kong Residential Market Survey indicates that sentiment surrounding the housing market remained positive. Contributors reported an increase in both volumes and values over the past month.
As shown in chart 6, at a headline level the balance of fresh supply against new demand shifted from being broadly supportive of price gains to a modest drag, as the increase in instructions to sell (supply) outpaced the increase in buyer enquiries (demand). Disaggregating the numbers (see chart 12) demonstrates that while demand and supply indicators were relatively similar in the New Territories, in Kowloon and Hong Kong Island respondents reported a material gap between the former and the latter.
For the fourth consecutive month, headline prices were largely driven by domestic buyers as enquiries from mainland China were flat.
Source : RICS