Lijia Ge: In July, Hong Kong recorded 731 transactions of first-hand private residential properties, a decrease of 62% compared to the previous month.

Ricacorp Properties' head of research, Chen Haichao, stated that according to the comprehensive data from the Land Registry, there were a total of 731 registrations for first-hand private residential sales in Hong Kong in July, amounting to HKD 15.71 billion. This represents a decrease of 62% and 45% compared to June's 1,923 transactions and HKD 28.78 billion, respectively. The number of transactions fell below 1,000 for the first time, ending a record strong streak of 16 consecutive months above that threshold, which is the second longest in history. The longest continuous period of transactions over 1,000 was 41 months from November 2001 to March 2005. The market is expected to stabilize and slowly warm up again. By region, the number of new property registrations across all three districts in Hong Kong fell significantly in July, with the New Territories experiencing the most pronounced drop, plummeting 75% month-on-month. The main reason was the lack of new property registrations, resulting in only 166 first-hand private residential registrations in the New Territories for July, a decrease of 76% month-on-month. Correspondingly, the total value of transaction registrations for the period also decreased by 67%, totaling HKD 2.12 billion. In Kowloon, the performance also saw a significant downturn, although multiple new properties were launched during the period. However, there was a lack of large flagship projects, and some sales were focused on selling leftover units. The new properties with the most registrations for the month were Phase 4 of The Coast and Phase 1 of MIAMI QUAY, which recorded 82 and 51 registrations respectively, successfully making Kowloon the leading area for first-hand private residential registrations in July with a total of 412 transactions, but still down 58% month-on-month. The total registered amount also decreased by 50%, recording HKD 6.93 billion, with both figures being the highest among the three districts in Hong Kong. As for Hong Kong Island, the absence of newly launched large-scale developments also led to a drop in registration numbers. In July, there were only 153 registrations for first-hand private residential sales on Hong Kong Island, down 37% from 244 in June, accounting for only 20.9% of the total market share. The value of transaction registrations also fell by 20%, involving HKD 6.66 billion, indicating a contraction in transaction volume. By property classification, Phase 4 of The Coast recorded 82 registrations in July, making it the project with the highest number of registrations, with a total value of HKD 633 million, averaging about HKD 7.71 million per transaction; followed by 54 registrations for Phase 1 of Hyde Park. The highest average transaction price last month was HKD 55 million for Phase 1 of South Bay, while the lowest was HKD 5.84 million for Park Wellington III. Looking ahead to August, Chen Haichao pointed out that after significant consolidation of new projects, developers gradually resumed launches in late July, leading the market to gradually return to a more vibrant state. In the first half of August, new properties continued to emerge, along with the transactions from late July, which is expected to help the number of first-hand private residential sales registrations build momentum in August, targeting a rebound of 30%, aiming to test 970 registrations. It is estimated that a breakthrough of 1,000 transactions will require more favorable conditions, likely in September.