Taipei luxury home prices jump 19%
By Crystal Hsu / Staff Reporter
Luxury home prices in Taipei last quarter jumped 18.9% year-on-year, the second-best performance in Asia and seventh globally, as low interest rates and a housing shortage fueled demand, according to a survey released Monday by real estate consultancy Knight. Frank LLP found.
The London-based consultancy revealed findings from a quarterly report showing that prices for high-end housing in 46 major cities around the world rose 9.8% from a year earlier, accelerating the most fastest since 2007.
In Asia, Taipei’s increase was only surpassed by Seoul’s 20.3%, while Dubai tops the global rankings with a 44.4% lead, followed by Moscow’s 42.4% and 28.2% in Miami.
Photo: Hsu Yi-ping, Taipei Times
In Taipei, pre-sale projects accounted for most transactions, little affected by credit controls and unfavorable policy measures that impose punitive income taxes on contract transfers, said Knight Frank Taiwan researcher Andy Huang (黃舒衛).
Most transactions were reported for an upcoming luxury residential complex on Dunhua N Road and a historic pre-sale project in Nangang District (南港), where housing prices are catching up with apartment prices in central parts of the city. city, Huang said.
Higher-end housing prices are likely linked to rising inflationary pressure, as various surveys have shown that Taiwanese prefer real estate over other investments as a hedge against inflation, he said.
Some funds could seek refuge in real estate as Russia’s invasion of Ukraine wreaks havoc on global stock markets, he added.
However, the central bank is due to review its monetary policy tomorrow as the Home Office drafts a bill to impose stiff fines on dishonest property listings, Knight Frank said.
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