Hong Kong’s housing market will likely see at least 10,000 new flats this year but prices are also expected to continue to increase, said Justin Chiu Kwok- hung, Executive Director at Cheung Kong.
“More than 17,000 flats will be needed this year and the 10,000 units will not be sufficient,” he said, adding that home prices will likely rise 10 percent this year.
Supply may see a gradual increase, as Financial Secretary John Tsang Chun- wah reportedly plans to announce an increase in land supply in his 23 February budget speech.
Tsang, however, may not introduce additional tightening measures aimed at curbing real estate speculation.
Cheung Kong is set to market seven projects in Hong Kong, with approximately 3,500 flats this year, which include its latest project, Uptown in Yuen Long.
Another 1,100 flats from Phase 2C of Lohas Park in Tseung Kwan O will also be launched.
Meanwhile, Sun Hung Kai Properties will sell homes at Imperial Cullinan in West Kowloon, Park Nara in Yuen Long and UniQ in Shau Kei Wan.
Henderson Land Development will likely launch 1,200 flats, including homes at its developments in Lok Wo Sha in Sha Tin and Tai Tong in Yuen Long.
Mr. Chiu cautioned that the local real estate market will stay volatile, though prices are increasing.
Albert Wong Kam-hong, Director at Midland Realty, agreed. ”Government policies will keep changing market sentiment. Prices will keep on growing, at a relatively slower pace,” he said.