News
COMMERCIAL PROPERTY | Staff Reporter, Hong Kong
view(s)

Unit pre-sale consent down 31% on five-year average in 2020

Developers will release more projects for sale once the pandemic is contained.

Over 11,000 new flats were issued pre-sale consent from January to November 2020, 31% lower than the five-year average from 2015 to 2019, according to JLL’s Residential Market Monitor.

Figures from the Lands Department show units issued pre-sale consent in the first 11 months of 2020 were 20% less than the 14,137 units in 2019. This was mainly due to delays in government approvals and developers opting to postpone project launches amidst the pandemic.

The limited supply of new flats helped support housing prices with a drop of only 1% seen in the first 11 months of 2020, the monitor said.

“The tight new housing supply has helped to hold up prices. The resilience in prices can also be attributed to the global quantitative easing due to the Covid-19 outbreak, which relieves the pressure on asset values caused by a soft economy. A loose monetary environment results in lower interest rates that lend support to housing demand,” JLL Greater China head of research Nelson Wong said.

Developers will release more projects for sale once the pandemic is contained.

Do you know more about this story? Contact us anonymously through this link.

Click here to learn about advertising, content sponsorship, events & rountables, custom media solutions, whitepaper writing, sales leads or eDM opportunities with us.

To get a media kit and information on advertising or sponsoring click here.