Condo rental volumes flat in Feb on lack of new launches

Buyers also remained at the sidelines as they wait for interest rates to decline.

Rental volume remains relatively flat on a month-on-month (MoM) basis despite being 0.9% higher than in February 2023, data from 99.co and SRX showed.

“Volume in February 2024 was subdued due to the CNY holiday and the absence of major project launches. Some buyers held back their purchase to wait for an easing in interest rates before buying.” Mark Yip, CEO, Huttons Asia, said.

According to a statement by the OrangeTee group, demand for resale properties may strengthen in the upcoming months should interest rates moderate, enhancing housing affordability and attracting more buyers to the market.

Condo prices remain relatively unchanged as well with a slight increase of 0.2% MoM.

Rents in the Core Central Region (CCR) increased by 0.2%, whereas rents in the Outside Central Region (OCR) rose to 0.1%. The Rest of Central Region’s (RCR) condo prices remain the same.

“The resale condo market may pick up in the next few months with the resumption of launches after the Chinese New Year. Prices of resale condo may rise by 4% to 6% in 2024, moderating from the 7.3% increase in 2023.” Yip added.