As regulations of registering actual real estate transaction prices will be implemented in August, the volume of luxury houses put up for sales in Taipei and New Taipei has increased in recent months, but buying interest has waned, according to media reports.
Citing latest market surveys, the reports said the number of houses worth NT$30 million (about US$1 million) or more up for sale in Taipei posted a 35 percent quarterly increase in the second quarter of this year, but sales declined by 27 to 37 percent during the period.
The reports said transaction decline could be attributed in part to the Central Bank's tightened credit control on high-end property speculation.
The following are excerpts from local media coverage of latest developments in local property markets:
The results of a new market survey released by H&B Realty Co. show that the number of properties worth NT$30 million or more in metropolitan Taipei up for sale increased 35 percent in the April-June period as compared with the previous quarter.
During the same period, the number of houses worth NT$30 million to NT$60 million put up for sale in New Taipei also saw a 29 percent rise, according to the poll.
As the number of houses worth more than NT$60 million in New Taipei is relatively few, the volume of houses in such category up for sale surge only 7 percent during the same period.
Sales of all high-end properties in the two metropolises, however, fell by 27 to 37 percent in Q2 as compared with the January-March quarter.
According to an H&B executive, the implementation of registering actual real estate transaction prices from Aug. 1 has prompted some of those who own high-end properties to put their holdings for sale as they are afraid that the new regulations would lead to exposure of their financial status.
Meanwhile, a survey by Yungching Realty Group found that commercial properties in downtown Taipei remain hot, with transaction prices rising 4.5 percent in Q2 to reach NT$2.21 million per ping (3.3 square meters).
Commercial properties in suburban Taipei even posted a larger gain of 7.8 percent to hit NT$825,000 a ping, and those in New Taipei also edged up 1.7 percent to NT$748,000.
Yungching executives attributed continued brisk sales of commercial properties to a tourism boom fueled by increases in Chinese visitors. (July 18, 2012).
United Evening News:
According to the latest land price index released by the Ministry of the Interior, New Taipei's Xinzhuang District has seen its land prices soar more than 60 percent over the past four years, making it the hottest real estate trading area since the 2008-2009 global financial crisis.
The biannual land price report also shows that the outlying island of Kinmen has posted the largest increase of land price of 5.73 percent over the past six months, followed by New Taipei at 5.62 percent. (July 18, 2012).
(By Sofia Wu)