Luxury Real Estate Blog and News
Thailand’s current political crisis has been surprisingly beneficial to foreign sales of luxury properties as the baht gradually depreciates, according to real estate analysts.
Property sales in Hong Kong dropped to their lowest levels in nearly a year in the last week of November due to cooling measures, the South China Morning Post has reported.
China’s recently implemented property market cooling measures did not have much effect in the month of August.
China overtook the US as the world’s biggest property investment market last year and will probably keep the lead in 2010 on economic growth and a lower reliance on debt, it is claimed in a new report. Real estate investment in China more than doubled to $156.2 billion last year, while the total for the US slumped 64% to $38.3 billion, the report from New York based broker Cushman & Wakefield says. Excluding residential investments, the US came third after China and the UK. The report also shows that eight of the world’s 20 largest property markets last year were located in the Asia Pacific region, with Hong Kong, Taiwan and New Zealand registering gains in investment.
Thailand will not renew property tax breaks when they expire at the end of March as the economy is recovering and developers are returning to normal profits levels. The incentives, including a reduction in the property transfer fee, a cut in the mortgage registration fee and a lower special business tax, helped boost property sales which increased by 7% in 2009, officials said. But now developers are warning that they will have to pass on the additional costs to buyers and prices will rise from April as a result.