CONFIDENTIAL #
while banks had tightened up their policies and practices on property lendings. As a result, the market came to a virtual standstill during most of June and remained quiet in the early
part of July.
11.
Since the latter part of July, signs of revival have emerged in the market for small
and medium-sized residential flats. For example, response to the pre-completion sales of flats at Whampoa Garden and Goodview Garden was encouraging, with a sell-out on the first day of marketing. Trading in the secondary market for residential flats has also recovered to a
considerable extent in recent weeks.
12.
In the residential property market, prospective home buyers had become very cautious immediately following the events in China. There were cases of backing down on purchase agreements leading to forfeiture of deposits by the developers. Meanwhile, developers had postponed the marketing of new developments, and some were reported to have delayed the progress of their building projects. For developers and existing property owners alike, leasing appeared to have become more popular in the short term. In general, the market for luxury flats had suffered a greater setback than that for small
and medium-sized flats.
CONFIDENTIAL