Hong Kong's property developers are scaling down, way down, for younger, middle-class buyers, offering micro-sized upscale apartments with eye-popping price tags
Making housing more affordable was among outgoing Hong Kong leader Leung Chun-ying's top priorities when he took office in 2012, but his administration has been unable to rein in skyrocketing prices that have added to discontent in the city.
Hong Kong is well-known for having some of the world's tiniest and most expensive homes, but one landlord is offering a modern twist on its famous "coffin apartments".
‘Bubble index’ rates Vancouver as city with most unsustainable house prices and puts several other cities in middle of bubbles
Prices of residential sites in Asia increased by 1.9% in the first half of 2016, down from 2.8% in the preceding six months, put office land increased from 1.9% to 2.2%.
Overall development land investment volumes in Asia matched the level registered in the corresponding period last year, according to the Prime Asia Development Land Index from international real estate firm Knight Frank.
As compared to the preceding six months, however, they were 40.4% lower and the index report explains that land markets tend to be more active in the second half of the year, which accounts for 60% of the transactions historically.
The volume of residential sales in Hong Kong fell 8% month on month in July after three months of growth in a row, the latest figures from the Land Registry show.
Overall property prices remained stable and this was due to sustainable end user demand, according to the analysis in the latest monthly report from international real estate firm Knight Frank.
It explains that the new build market, which contributed to about one third of total residential transactions in Hong Kong, is where major developers generated good sales in their recently launched projects.
Residential property prices in Hong Kong stabilised in June with more activity mainly in the primary sector, as developers launched new projects with deep discounts and other enticements.
According to the Land Registry, residential sales in June edged up 0.7% month on month, reaching 4,620 units. The gain was attributed mainly to robust activity in the new homes market.
Meanwhile there have been more home buyers returning to the market looking for bargains, according to the latest monthly market review report from international real estate consultants Knight Frank.
Hong Kong is the world's most expensive city for expats, leapfrogging Angolan capital Luanda in the annual chart compiled by consultancy firm Mercer.
Luanda, which had consistently topped the list in recent years, fell in the ranking owing to the weakening of its local currency.
Zurich and Singapore were third and fourth on the list, unchanged from a year ago. Tokyo rose to fifth.
Residential sales increased by 2% month on month in Hong Kong in May, but transactions are down 11% year on year, the latest Land Registry figures show.
But with developers offering deeper discounts and more incentives, a number of primary projects received a positive market response, according to the latest market analysis from international real estate firm Knight Frank.
It points out that prices have dropped for seven consecutive months by a cumulative 11%, according to provisional figures from the Rating and Valuation Department. Mass residential prices led the decline, losing 11% in the period, while luxury residential prices dipped 8%.
Hong Kong home prices edged up 0.5 percent in April, snapping a half year of monthly declines, but were still down 5.6 percent from a year earlier, data showed on Tuesday.
Home prices rose to 258.8 on a government index in April, from 257.5 in March, according to the Hong Kong government's Rating and Valuation Department.
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