Property transactions in 6 biggest cities hit 11-year high in 2024

Taipei, Jan. 3 (CNA) Transactions of residential and commercial property in Taiwan's six largest cities hit an 11-year-high in 2024, driven by strong demand in the first six months of the year, according to local government data.

The significant demand between January and June offset the impact of the seventh round of selective credit controls launched by the central bank -- which limited mortgage eligibility -- in the second half, data showed.

In 2024, transactions of homes, shops, offices and factories in Taipei, New Taipei and Taoyuan in northern Taiwan, Taichung in central Taiwan, and Tainan and Kaohsiung in the south, totaled 271,309 units, up 14.7 percent from a year earlier and an 11-year high.

Jessica Hsu (徐佳馨), research head of property agency H&B Business Group, said the central bank's latest round of selective credit controls in September affected the local home market.

However, Hsu said government subsidies for home buyers pushed up property sales in the first half, which helped offset the impact of the credit controls.

All of the six biggest cities reported a year-on-year increase in home, shop, office and factory sales, data showed.

In 2024, residential and commercial property sales in Taipei, the most closely watched property market in Taiwan, rose 12.0 percent from a year earlier to 29,930 units, while sales in New Taipei, the most populous city in the country, rose 6.9 percent to 64,169 units.

In Taoyuan, property transactions totaled 49,189 units in 2024, up 20.8 percent from a year earlier, whiles sales in Taichung rose 15.3 percent to 54,996 units.

Tainan saw property sales grow 11.4 percent from a year earlier to 27,783 units in 2024, while sales in Kaohsiung rose 24.8 percent from a year earlier to 45,242 units.

According to Chen Chin-ping (陳金萍), a research manager at Yung Ching Realty Group, sales in Tainan hit a historical high, transactions in Taichung were at their highest in 17 years and Kaohsiung in 18 years.

In December alone, property sales in the six major cities hit 21,445 units, up 8.2 percent from a month earlier but down 9.7 percent from a year earlier.

Charlene Chang (張旭嵐), a section chief at Taiwan Realty Enterprise, said the December spike was due to some home buyers wanting to move into a new house before the upcoming Lunar New Year holiday.

Chang added that moderating economic growth made some home sellers more willing to cut prices.