HKers expect home prices to dropBusiness | 13 Dec 2018 4:17 pm
Over half of respondents expect home prices to fall in the next 12 months, according to Citi Hong Kong's annual survey on residential property ownership in Hong Kong.
The bank commissioned The University of Hong Kong Social Sciences Research Centre to conduct the survey, interviewing over 500 Hong Kong respondents by phone in the fourth quarter of 2018.
The number of respondents who expected home prices in Hong Kong to fall in the next 12 months has increased drastically since the second quarter of this year.
That percentage went up from 9 percent in the second quarter to 29 percent in the third quarter and further rose to 57 percent in the fourth quarter.
In comparison, the number of respondents who expected home prices to rise was down significantly from 69 percent in the second quarter to 18 percent in the fourth quarter.
Overall, 71 percent of respondents said they hoped home prices will fall.
The percentage of respondents who felt that it is not a good time to purchase a home, while still considered to be quite high, was down from 74 percent in the last quarter to 67 percent.
Among the non-homeowner respondents, 63 percent were not hopeful that they will be able to afford a residential property in 10 years, and instead of saving for a down payment, 45 percent said they would rather spend the money on things such as holidays abroad and dining out.