TAIPEI (TVBS News) — TAIPEI (TVBS News) — The Bureau of Land Administration of six municipalities in Taiwan released on Monday (July 4) the data for property transfers in June. The figures revealed a decline in monthly and yearly transactions, indicating a sluggish housing market.
The effects of government measures to curb property speculation, the implementation of the integrated housing and Land Tax 2.0, and the anticipated enactment of the Equalization of Land Rights Act have likely contributed to the market's current state.
According to Lang Mei-nan, director of the Planning and Research Department at Great Home Realty, the data suggests a tug-of-war in the housing market. Buyers anticipate significant price drops due to the government's anti-speculation measures, while sellers find current conditions unfavorable.
Also, the 2.0 version of the integrated housing and land tax has resulted in higher tax rates for properties sold within five years of purchase, leading some sellers to wait to sell, ultimately reducing overall transaction volume.
Chang Hsu-lan, CEO of Taiwan Realty Housing Trends Center, further emphasized that the second-home loan restrictions, implementation of the Equalization of Land Rights Act, and the upcoming presidential election in the second half of the year will likely result in the market relying solely on rigid demand such as self-occupancy.
As a result, the housing market could continue to develop in the direction of volume contraction and price stabilization.
