Hong Kong home prices rise for 6th straight month in September

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By Venus Wu

HONG KONG: Hong Kong home prices surged in September for the sixth consecutive month to hit the highest level in nearly a year, according to government data released on Monday.

Private domestic home prices in September rose 2.78 percent compared to the previous month and reached their highest level in 11 months, according to an index compiled by the Rating and Valuation Department.

Home prices in September were 3.46 percent lower compared to the historic peak hit a year ago.

Hong Kong’s real estate is among the most expensive in the world. One of the city’s largest property agencies, Centaline Property Agency Ltd, has forecast home prices will return to peak levels in the fourth quarter this year.

Sixty-six percent of the some 17,000 apartments released to the market this year were sold by the end of September, according to a research note by Centaline. It expects the number to climb to 80 percent by the end of fourth quarter.

Second-hand private domestic home sales are expected to hit a 20-month high for October, Centaline added.

Rental prices also rose for consecutive six months, government data showed. In September rental prices increased by 0.83 percent from a month ago.

(Editing by Gopakumar Warrier)

Source: Reuters