Hong Kong Property Market Remains Stable Amid Middle East Tensions

The Hong Kong property market is maintaining its pace despite concerns over tensions in the Middle East. According to RTHK, Knight Frank's Senior Director and Head of Research and Consultancy for Greater China, Wong Siu Kei, believes that while the Middle East situation may have a psychological impact on Hong Kong's real estate market in the short term, the secondary market is likely to be more affected than the primary market. He noted that even if rising oil prices lead to increased inflation, potentially affecting the pace of interest rate cuts in the United States, Hong Kong's interest rate trends may not necessarily follow those of the U.S. Additionally, the influx of capital into Hong Kong as a safe haven is expected to help stabilize the local property market. Wong anticipates that developers will price new properties close to market rates, and the low-interest environment is likely to persist. He expects the monthly transaction volume for new properties to remain stable at around 1,000 to 1,500 units. Market statistics indicate that over 4,200 new units, spanning 11 projects, may be launched this month.