According to Yang Mingyi, Senior Joint Director of the Research Department of Centaline Property, the latest CSI (residential property price) report is 40.64, down 1.17 points from last week's 41.81, temporarily holding on to 40 points. It is expected that the US will only cut interest rates once this year, and local banks have tightened their lending for nano flats. With continuous market rumors of weakening demand, the CSI trend continues to decline, falling by 10.20 points over 7 consecutive weeks from the level of 50 points to 40 points. This indicates that the sentiment of frontline agents is becoming negative, indicating a softening of property prices. The impact of the relaxation of mortgage policies by the HKMA on pre-sales of properties still needs to be observed. If the CSI fails to rebound and stabilize, and further drops below the 40-point level, it will confirm a downturn in property prices.
The CSI (residential rental) index reported 52.64, a weekly decrease of 0.15 points. The index has been hovering around the upper limit range of 50-60 points for 16 consecutive weeks, indicating a stable high level for residential rents. With the approaching peak rental season in the summer, rents are expected to pick up again.
As for commercial properties, the CSI (commercial property price) index reported 40.96, up 1.73 points from last week. The CSI (commercial rental) index reported 39.76, down 0.39 points from last week. The price index has been fluctuating around the lower limit of the 40-point level, indicating that the commercial property market may be under pressure. The rental index has fallen for 2 consecutive weeks, dropping below the 40-point level, indicating a softening of the commercial property rental market.
As for industrial properties, the CSI (industrial property price) index reported 36.75, up 0.72 points from last week. The CSI (industrial rental) index reported 39.88, up 1.64 points from last week. Both rental and price indices have been below the 40-point level for 2 and 7 consecutive weeks respectively, indicating a similarly weak market for both industrial property sales and rentals, which will need to be adjusted.
As for office properties, the CSI (office property price) index reported 31.43, up 0.66 points from last week. The CSI (office rental) index reported 31.78, up 1.01 points from last week. Both rental and price indices have risen, but they are still hovering around the 30-point level, indicating a continued downward trend in the office property market for both sales and rentals.