Downward interest rate cycle

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Hong Kong's homebuyers brave storm signal at city's first post-rate cut property sales
Yahoo Financeยท 2025-09-19 09:30
Core Insights - Hong Kong's homebuyers showed strong demand for apartments despite adverse weather conditions, with significant sales occurring after a reduction in prime lending rates by commercial banks [1][4] - New World Development and CK Asset Holdings successfully sold a combined total of 44 apartments, representing 23% of the 190 flats available during the sales event [1] - The average price for units sold by New World in the House Muse project was HK$18,251 (US$2,347) per square foot after discounts, while CK Asset's Blue Coast II units averaged HK$22,684 per square foot [2][3] Company Performance - New World Development sold 39 out of 120 units in the House Muse project, with five units sold via tender [2] - CK Asset sold five units from the remaining 70 in the Blue Coast II project, with prices ranging from HK$10.2 million to HK$20.2 million [3] Market Trends - The recent rate cut is viewed as the beginning of a downward trend in lending costs, which is expected to encourage more buyers to enter the market [5] - Analysts believe that government measures following the Chief Executive's policy address will help stabilize the property market, enhancing its absorption capacity [4][6]