Martin Lee, CEO of Hong Kong Properties, stated that the United States has maintained the federal fund rate at 5.25 to 5.5 cents without raising it for seven consecutive times. It is believed that the interest rate in the US has peaked this year. As for Hong Kong, some large banks have announced that their best rates (P) will remain unchanged.

Matteo Ma, pointed out that interest rates certainly affect the property market, while other measures, such as property market policies, also play an important role in the market. The financial budget released in late February provides a comprehensive “withdrawal of spicy measures” and relaxation of mortgages, which releases the housing intentions of the past few years that were constrained by spicy policies. According to statistics from the research department of properties from Primary Real Estate Development Sales Network, in the first half of the year (as of June 11), a total of 8,228 transactions were recorded, an increase of more than 90% over the 4,304 transactions in the second half of last year; it is expected that the number of transactions for the entire first half of the year will exceed 9,000, reaching a new high of five years. The real estate with the most units sold in the first half of the year as of June 11 was railroad properties, with SEASONS PLACE at Olympic Station, BLUE COAST at Wong Chuk Hang Station, and Langham Place Phase IIB at Ho Man Tin Station ranking the top three.

After the withdrawal of spicy measures, second-hand real estate transactions have also accelerated. According to data from the land registry, in the first half of the year (as of June 11), there were 18,562 registrations for second-hand residential properties, an increase of about 36% over the 13,642 registrations in the second half of last year; it is expected that the total number of registrations for second-hand residential properties in the entire first half of the year will exceed 21,000, a growth of about 50% over the second half of last year.

In fact, the withdrawal of spicy measures has allowed the property market to develop more healthily, but the United States maintains its interest rates. The expectations of multiple interest rate cuts since the first half of this year have not been realized, and the scale of interest rate cuts in the United States may be less than expected, which puts certain pressure on the property market and the suppliers. However, the performance of the residential property market is currently ideal, and purchasing power continues to be released, indicating a strong willingness for buyers to enter the market. The market is closely watching the direction of US interest rates. If the interest rates peak and fall back, the Hong Kong economy improves, coupled with the “withdrawal of spicy measures” effect, it is expected to support the Hong Kong property market this year, and the overall property prices are expected to have an increase of 5% or less for the entire year.