Home prices increase a measly 0.1%

Centaline says it will soon push down.

According to Barclays, the Centa-City Leading (CCL) Index of Hong Kong home prices continued to increase for the second week with a 0.1% w/w gain last week.

At 118.42, the CCL Index has dropped 0.5% for the year to date.

Here’s more from Barclays:

Reflecting the secondary transactions between 3 and 9 March 2014, last week’s CCL Index had yet to show the downward pressure from the withdrawal of the Tai Po land site tender or the low prices of the Ma On Shan sites.

Centaline expects that the uptrend of home prices will not be sustained given the decreasing land price.

Looking across the districts, home prices on Hong Kong Island and in the New Territories rose 0.6% and 1.1% w/w while those in Kowloon fell 0.9% w/w.

Home prices in New Territories East remained largely unchanged.