The weekend transaction volume for the 10 major secondary residential estates in Hong Kong for October 23 to 24 climbed to 94 transactions from 84 deals during October 16 to 17, according to the Hong Kong Economic Times (HKET).
This figure implies a 3-year-high since November 2007. The volume has risen for the third consecutive week.
Credit Suisse expects that its transaction volume target for the secondary market for the second half of the year would be 90 percent achieved by end-October, while its primary market transaction volume target for the same period would be 65 percent achieved. This implies upside risks to its volume forecasts, said Credit Suisse.
Meanwhile, the primary market is expecting the launch of the 1,369-unit Festival City Phase 2 by Cheung Kong early next month. Credit Suisse expects the project will receive good response, adding that the developer can sell the project as fast as Oceannaire, which was sold out during its launch and cleared in 4 days.
“The market performs in line with our expectation. From now till year-end, we expect the overall (primary + secondary) transaction volume to continue to roar, which benefits volume players including Cheung Kong and Midland. Taking valuation into account, our top picks remain Sino Land, Midland, and Cheung Kong,’ said Credit Suisse.