Sat, Sep 02, 2017 - Page 11 News List

Buying interest in upscale homes in Taipei increases

PICKUP:Property sales in the six major cities rose last month in the lead-up to Ghost Month and as the gap between buyers’ and sellers’ expectations narrowed

Staff writer, with CNA

Luxury homes accounted for about 10 percent of total housing transactions in Taipei last month, up from about 7 percent the previous month, statistics released yesterday by real-estate agencies showed.

Sinyi Realty Inc (信義房屋) research manager Tseng Ching-der (曾敬德) said the increase was an indication that buying interest in upscale homes in the capital was on the rise.

Transactions of homes valued at NT$50 million (US$1.66 million) or higher made up 9.9 percent of Taipei’s total housing transactions last month, up from 6.8 percent in July, the data showed.

The average selling price of luxury homes in Taipei also rose to NT$617,000 per ping (3.31m2), compared with NT$596,000 per ping in the previous month, the data showed.

Tseng said the luxury home market boom in Taipei came after consolidation of the nation’s property market in recent months, which pushed transaction volumes and prices higher.

Last month, residential and commercial property transactions nationwide rose 14.8 percent from a month earlier, with sales of homes, shops and offices in Taipei increasing 14.6 percent in the lead-up to Ghost Month.

Consumers tend to avoid big-ticket item purchases, such as homes and cars, during Ghost Month, which started on Tuesday last week and runs through Sept. 20.

The statistics showed that residential and commercial property transactions in five other special municipalities also increased last month.

Sales in New Taipei City, Taoyuan, Taichung, Tainan and Kaohsiung grew 14.7 percent, 13.1 percent, 15 percent, 15.1 percent and 14.9 percent respectively from a month earlier, the data showed.

Potential buyers are not expecting a further drop in prices, which has helped narrow the gap between buyers’ and sellers’ price expectations and allowed for faster deals, Tseng said.

The relatively dry weather and a halt in the government’s efforts to stop market speculation also encouraged home buyers to enter the market, he said.

Great Home Realty Co (大家房屋) head of research Mandy Lang (郎美囡) agreed, saying that since the government loosened its grip on the property market, banks have become more willing to make home mortgages, which in turn has boosted prices and transaction volumes.

Property sales in Taoyuan have been boosted by population growth, improved transportation links and a better environment, particularly in Bade District (八德), Taiwan Realty Co (台灣房屋) manager Chiang Yi-hui (江怡慧) said.

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