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🇹🇼 Taiwan /Economy & Trade

Taipei, New Taipei housing prices fall, experts warn of 'dead fish market'

From Liberty Times · () Chinese

Translated from Chinese, summarized and contextualized by DistantNews.

At a glance

News Named sources Context piece
  • Housing prices in Taipei and New Taipei City have both declined, indicating a "dead fish market" according to experts.
  • The market is characterized by stagnant prices and low transaction volumes, with buyers and sellers in a prolonged standoff.
  • Experts advise potential buyers to increase viewings and be patient, as opportunities may arise for well-priced properties.

Housing prices in both Taipei and New Taipei City have seen a decline, signaling a sluggish market that experts are describing as a "dead fish market." This term reflects a state where prices are stagnant, and transaction volumes are struggling to increase, creating a challenging environment for both buyers and sellers.

The current market has gradually shifted to a buyer's market, and homebuyers actually have more room for negotiation.

— He Shih-changAnalysis of the current market dynamics favoring buyers.

Recent data shows that Taipei's housing price index fell by approximately 0.4% in May compared to April, although it remains 4.09% higher year-on-year. New Taipei City experienced a monthly decrease of about 0.23%, with its year-on-year price index down by 0.61%. While Taipei's market has shown a slight upward trend over the past year, New Taipei City has seen a minor correction. Overall, the price fluctuations have been minimal, lacking a clear market direction.

This market trend is the most grinding, testing both buyers and sellers.

— He Shih-changDescription of the challenging nature of the current market.

He Shih-chang, CEO of Xin Chuan Real Estate Think Tank, explained that this "dead fish market" is particularly taxing, as sellers hope for higher prices while buyers wait for significant drops. This stalemate prevents sellers from cashing out at their desired prices and buyers from finding bargains, thus suppressing transaction volumes. He noted that the market has shifted towards buyers, who now have more room for negotiation.

Sellers cannot get the good price they want to cash out, and buyers cannot wait for a big drop to pick up a bargain, so transaction volume is naturally difficult to increase.

— He Shih-changExplanation for the low transaction volume.

Despite the cold transaction atmosphere, real estate agents and marketers are actively engaging with potential buyers. He advises those interested in purchasing property to increase their viewing frequency and gain market experience. He suggests that during a downturn, it is easier to encounter sellers who are flexible on price due to financial needs, offering opportunities to acquire properties at reasonable prices. For those not actively looking to buy, he recommends studying market trends and regional prices, or even accumulating assets through other investments to prepare for future market entry.

It is better for interested homebuyers to increase their viewing frequency and accumulate market experience rather than continue to wait and see.

— He Shih-changAdvice for potential homebuyers in the current market.
DistantNews Editorial

Originally published by Liberty Times in Chinese. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

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