Hong Kong’s real estate market today
Now Hong Kong is a Special Administrative Region of China, its star is rising as fast as China and the entire Hong Kong real estate sector is benefiting.
Hong Kong’s physical geographic restrictions mean that there is a limited supply of residential and commercial real estate available for sale and rent; And as Hong Kong further strengthens its already strong economic, trade and investment ties with China, demand for real estate in the region is intensifying.
Multinational companies and their huge expatriate employee base, local businesses, and local residents, tourists, and students compete for space. In fact, demand for residential and commercial space in Hong Kong is at its highest since the glory days before 1998. After having suffered a sharp recession from 1998 to 2003, real estate prices are for sale at cost. deflated and therefore considered undervalued, which means that the real estate market is in an excellent position right now to grow and expand.
Because the demand for real estate in Hong Kong is so intense …
Because Hong Kong’s economy is going from strength to strength …
Because the internal purchasing power is so strong …
And because the real estate market is believed to be currently undervalued, the plethora of profit opportunities in the Hong Kong real estate market right now is intense.
Real estate investors around the world are buying in the projected growth period and committing substantial funds in the Hong Kong market. As for the restrictions placed on foreign investors, there are none in Hong Kong … in theory, anyone can buy a property. As with all urban real estate economies, property in Hong Kong, while currently considered undervalued, cannot be considered “cheap.” However, anyone who wants to get into the market can get mortgages locally in Hong Kong to buy and can almost guarantee the rental income that you will generate if you choose to buy residential or commercial units to rent.
The medium-term prospects for the Hong Kong property market are good, with an analysis showing that the number of renovation projects and new developments started in recent years is below what is required for the current level of demand. This insufficient supply will last at least the next four years, according to an analysis by industry experts. This has led to predictions of property price growth of up to 12% annually for at least the next four years, making the Hong Kong property market a very attractive prospect today.
