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New home prices in Taipei down over 2% in Q3

New home prices in Taipei down over 2% in Q3

Taipei, Oct. 24 (CNA) The selling price of newly built homes and pre-sale residential projects in Taipei fell by more than 2 percent in the third quarter of this year at a time when the pace of the local economic recovery appeared wobbly, according to the real estate market publication My Housing magazine (????). The magazine said that the average selling price of new homes and resale home projects in the capital Taipei, which is the most watched property market in Taiwan, fell by about NT$20,000 (US$615) or 2.22 percent per ping (3.3 square meters) to NT$881,000 from a quarter earlier during the July-September period. The sequential price drop in the third quarter was steeper than a 1.21 percent decline recorded in the second quarter. That dragged down the average new home and pre-sale project selling price to a level seen in the first quarter of 2014, the publication said. My Housing magazine said that the price fall in the third quarter in Taipei was also the steepest among the cities located in northern Taiwan. In the past year, the selling price of new homes and resale housing projects in Taipei have fallen by about NT$48,000 or 5.17 percent, according to the magazine. Market analysts said that due to a slowdown in the local economy, home buyers preferred to stay on the sidelines and wait for a further drop in home prices, which prompted some home sellers to become more willing to cut prices in a bid to speed up the pace of transactions. With a worse-than-expected export performance due to an unfavorable external environment, analysts have anticipated that it will be hard for Taiwan to maintain the pace of its gross domestic product growth at 1 percent for 2015. Ho Shih-chang (???), a research manger of the My Housing magazine, said that some property developers have put their new housing projects in Taipei on hold; otherwise home prices in the city could have fallen further. However, Ho said that price cuts in Taipei were generally seen among large-sized homes, while prices of relatively small properties appeared resilient, adding that many middle class home buyers who targeted smaller homes could not benefit from the average selling price drop. He said that buying a home remained a big financial burden to most of the residents in Taipei. In New Taipei, Taiwan's most populous city, also located in the north, the average selling price of new homes and resale housing projects for the third quarter fell only NT$1,000 or 0.24 percent as some home sellers were reluctant to trim their prices significantly, the magazine said. Home buyers in Taoyuan, also in northern Taiwan, meanwhile, saw the prices of new homes and pre-sale housing projects in that city end a three-quarter decline in the third quarter, when the average price stayed little changed from the previous quarter, the publication added. (By Wei Shu and Frances Huang)


Updated : 2021-09-19 20:24 GMT+08:00