Taipei, April 24 (CNA) The number of property transactions for the first quarter of this year totaled 63,900, representing a 10-year low, according to statistics published by the Ministry of the Interior Tuesday.
Transactions for the first quarter in the housing market dropped 38.86 percent from the same period of last year, an indication that transactions have returned to normal trading volume since the luxury tax was implemented, according to ministry statistics.
Transactions in January and February averaged a low of 18,000, due mainly to delayed purchase from February to March in light of the Chinese Lunar New Year holiday.
Transactions in March totaled 27,600, a monthly increase of 52 percent but a nearly 20 percent drop from the same period of the previous two years, according to the statistics.
Stanley Su, chief researcher at Sinyi Realty Inc., said the real estate market in areas south of the greater Taipei area recorded strong growth in March.
Property demand in Taoyuan County, Hsinchu County, Tainan and Kaohsiung were mostly for principle residences, he explained.
In contrast, Taipei and New Taipei recorded a relatively slow housing market for that month.
Transactions for Taipei in March totaled 2,960, a monthly decline of 22 percent, while New Taipei recorded 5,372, a monthly increase of 58 percent but a sharp decline from the 9,020 transactions recorded for the same month in 2010.
Su predicted that housing prices will remain stable amid the country's positive economic growth and a recent move by the central bank to tighten limits on mortgage lending.
(By Wei Shu and Ann Chen)