The Land Registry released statistics for September 2024, with residential building contracts falling by 22.1% month-on-month to 2,848 tonnes, for the fifth consecutive month. Kwok Wei Yan, Executive Director of SEPP Weiss' Hong Kong Valuation and Advisory Services Department, said that the market's silence on the US interest rate cut caused a drop in trading volumes, with developers selling mainly tailings in the past few months and limited new residential developments.

He said that development stores are rolling out new listings to capture demand that has been suppressed after interest rate cuts. In addition, in the current high end of inventories, developers may prefer to apply at discounted prices. Therefore, it is expected that the volume of trade will rebound in the coming months. In addition, second-hand market trading may also increase as future yields fall. (vc/k)

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