Hong Kong property market: It is expected that Hong Kong property prices will rise by 10%-15% this year, with 72,000 residential property transactions.

Simon Midland, CEO of Midland Holdings (Residential) and Executive Director of Hong Kong Property, said on Wednesday that with the strong demand from first-time home buyers, relief in supply, rents reaching new highs, influx of talent, and a rise in profit margins, the Hong Kong property market has officially entered a "positive cycle" and is on track for a "rise in both prices and volume" recovery. It is expected that residential property prices will increase by 10%-15% for the whole year, with residential property transactions reaching 72,000 units, a year-on-year increase of about 6%, and setting a 5-year high. Midland mentioned that the upward trend in property prices in Hong Kong continues, with the group's property price index currently at 145.77 points, representing a cumulative increase of 8.21% so far this year, hitting a new high for over two and a half years. Compared to last year's low point, prices have rebounded by 15.43%. With the expectation of stabilization in the US-China trade relations, as well as the easing of tensions in the US-Iran conflict, along with other positive factors driving the market, it is expected that market confidence will improve in the future. A survey conducted by Hong Kong Property found that out of 359 respondents, approximately 50.7% are optimistic about the rise in property prices in the next 12 months, an increase of 6.8 percentage points from the previous quarter, reaching the highest level since the second quarter of 2016. About 34% expect prices to remain stable, while only about 15.3% foresee a decline, indicating that the general public has high hopes for the future market and confidence in the Hong Kong property market has reached its highest level in over a decade. Wang Bandit, Director of Research at Hong Kong Property, stated that the property market in Hong Kong is thriving, with prices continuing to rise, driving the demand from citizens to enter the market. The survey shows that about 57.1% of respondents are considering buying property in the next 12 months, an increase of approximately 8.6 percentage points from the previous quarter, reaching a 6-quarter high, injecting more momentum into the property market in the second half of the year.