TAIPEI (Taiwan News) — Property transactions in Taiwan’s six major municipalities fell to a 10-year low in February, as the extended Lunar New Year holiday, tighter credit controls, and weakening investment sentiment weighed on the market.

A total of 10,480 transactions were recorded across Taipei, New Taipei, Taoyuan, Taichung, Tainan, and Kaohsiung, marking a 42.5% decrease from January. The figure was the second-lowest monthly total since records began, higher only than the 7,406 transactions registered in February 2016, according to data compiled by local land administration offices and released Monday, per Liberty Times.

Chen Chin-ping (陳金萍), deputy research manager at Evertrust Rehouse Co. (永慶房屋), said month-on-month transactions fell 27% in Taipei, 39% in New Taipei, 45% in Taoyuan, 47% in Taichung, 48% in Tainan, and 47% in Kaohsiung.

Chen said February’s nine-day Lunar New Year holiday reduced both the number of transaction days and the number of working days available for land administration offices to process transfers. Pre-holiday shopping and house cleaning also slowed house-hunting activity.

She noted that February is typically a quieter month for the property market due to seasonal factors. The continuation of the seventh wave of selective credit controls further dampened buying interest.

Looking at combined property transfers in the first two months of 2026, Taipei recorded 3,675 units, up 6.4% year-on-year; New Taipei had 6,502 units, up 0.8%; Taoyuan saw 5,509 units, down 6%; Taichung had 5,384 units, down 16.5%; Tainan recorded 3,107 units, up 17.8%; and Kaohsiung posted 4,540 units, down 8.7%.

In total, 28,717 units were transacted across the six cities in January and February, representing a 3.7% decrease compared with the same period last year.

Chuang Ssu-min (莊思敏), deputy manager of research and development at Chinatrust Real Estate, said the modest 3.7% year-on-year decline in the first two months indicates the housing market remains relatively stable.

She attributed the decline to short-term fluctuations tied to individual property handovers and said the number of prospective buyers visiting properties is expected to recover in March. New sales launches scheduled for late March will serve as an important indicator of market trends, she added.

Chuang said overall transaction volume this year still has a chance to exceed last year’s level as the market gradually absorbs negative news and pent-up demand is released. She also noted the possibility of stock market gains flowing into the real estate sector ahead of year-end elections.

Chen said uncertainty in the global political and economic environment is likely to leave owner-occupiers and first-time buyers as the primary drivers of the housing market. She said there is little reason to expect a significant rebound in activity, as the market has shifted in favor of buyers.

Chen warned that only if sellers are willing to offer discounts will transaction volumes have a chance to recover. Overall, she said the 2026 property market will be driven by fundamentals, with owner-occupiers benefiting from greater room for negotiation and more opportunities to compare prices.