rate in 1971 and the first half of 1972 and at a particularly rapid rate in the second half of 1972 and the first quarter of 1973. But it is possible that this sharp increase in the money supply also had a significant impact on land and property prices. Certainly, as can be seen from Table 22, there was a rapid increase in property prices towards the end of 1972 and in the first quarter of 1973.
Private Sector Rents
62. As might be expected, these develop- ments affected rentals in the private sector, and it will be seen from Table 23 that rents did appear to be rising more rapidly in the first half of 1973 than in 1972 in some cases.
(a) Domestic Rentals
63. At the end of January 1970 the rents of the majority of the then existing domestic tenancies were placed under restraint, and, in general, they have since increased by about 25%. Details of new rents paid for tenancies not subject to control in the period January 1970 to June 1973 are shown in Table 24. In general, these have increased by between 70% and 100%.
Average Considerations for Selected Property Transactions*, 1968-1973
Table 22
Number of
Average price
cases
(HK$)
Year ended:
31 Mar 1969
22,169
51,280
31 Mar 1970
23,424
70,841
31 Mar 1971
25,436
97,265
31 Mar 1972
23,115
120,077
Quarter ended:
30 Jun 1972
5,768
123,035
30 Sep 1972
7,264
148,330
31 Dec 1972
8,668
154,842
31 Mar 1973
11,198
208,265
30 Jun 1973 30 Sep 1973
31 Dec 1973
7,358
290,714
6,174
240,583
10,159
181,884
* premises (mainly domestic) valued by the Inland Revenue Department for stamp duty purposes. The quarterly figures relate to assignments presented for stamping during the quarter and, in general, the average price recorded refers to transactions agreed during the previous quarter.
Table 23
Rental Movements, 1969–1973
Increase in average rents paid*
Rental increases in cases where rents have increased
Type of property
Year to:
Six months
Six
Year to:
months
to
to
Dec
Dec
Dec
Dec
Jun
Dec
Dec
Jun
1969
1970 1971
1972
1973
1971 1972
1973
(%)
(%)
(%)
(%)
(%)
(%)
(%) (%)
Domestic:
Small tenement floors
2.2
8.5
6.6
6.6
5.8
17.6
19.0
19.0
Large tenement floors
2.1
8.4
5.7
6.3
7.5
16.6
15.6
21.0
Small flats
5.1
11.8
11.2
8.0
7.0
25.9
21.9
22.8
Medium flats
7.2
20.2
15.5
12.4
7.9
36.6 39.1
22.5
Large flats
6.0 19.4
28.3
13.0
7.3
51.4
42.2
26.9
Total domestic
4.4
13.3
13.5
9.3
7.1
31.5
26.9
23.2
Shops
4.4
10.6
12.3
16.6
17.8
43.1
42.1
51.7
Offices
6.3† 38.5+
42.2† 14.7†
38.4†
(not applicable)
Commercial flatted factories 22.2
17.9
8.8
3.3
6.1
34.6
27.9
19.1
* compiled from rent indexes incorporating rental increases and decreases and cases where rents have not changed. † renewal of existing tenancies and new lettings.
21
No comments yet.
Private notes are available after approval.