FIRST PACIFIC(HK:00142) 智通财经网·2025-04-02 03:18Core Viewpoint - The Hong Kong residential market is facing pressure from excess inventory, despite a temporary boost in luxury property transactions due to interest rate cuts and discount offerings. Price adjustments are expected to continue into 2025, particularly affecting the luxury segment [1][2]. Group 1: Market Trends - The luxury property transaction volume in Q4 2024 doubled to 180 transactions, driven by interest rate cuts and an increase in discounted listings [1]. - The overall residential market is expected to see continued price adjustments in 2025, with predictions of a 5-10% decline for general residential properties [1]. - The supply of new units is projected to be high, with 107,000 new units expected over the next four years, contributing to ongoing price pressure [1]. Group 2: Developer Strategies - Developers are actively launching new luxury projects in response to improved market sentiment, despite the low average absorption rates for independent houses and luxury units [2]. - Financially stable developers may choose to hold onto their most valuable assets and only release them when market conditions and prices are favorable [2].