HK expects special stamp duty to curb speculation

10:27, November 21, 2010      

Email | Print | Subscribe | Comments | Forum 

The newly issued special stamp duty will help curb short-term property speculation since it will increase speculators' transaction costs, Secretary for Transport and Housing of the Hong Kong government Eva Cheng said on Saturday.

To clamp down on property speculation which helped heat up the property market, the government of Hong Kong Special Administrative Region issued a new round of measures on Friday, including launching a special stamp duty on residential properties on top of the current property transaction stamp duty.

The newly announced anti-property speculation measures were appropriate and timely, said Cheng while attending a radio talk show.

According to new regulations, residential properties bought from Nov. 20 and resold within 24 months will be subject to the proposed special stamp duty paid by the buyer and seller, which will be up to 15 percent if the transaction takes place within six months.

"Buyers and sellers should discuss the arrangements of paying the special stamp duty among themselves," Cheng said, adding that the lawyers and estate agents involved in the transaction should remind their clients of the new changes and requirements.

Cheng said she hoped that the new initiatives will ensure the property market's stable and healthy development, benefiting real homebuyers. Meanwhile, she reminded potential homebuyers to assess their affordability carefully before making decisions.

As part of the plan, the Hong Kong Monetary Authority (HKMA) also announced on Friday that maximum loan-to-value (LTV) ratio for residential properties with a worth of more than 8 million HK dollars (1.03 million U.S. dollars) will be lowered, in a bid to strengthen risk management in residential mortgage lending business.

In the first nine months of this year, Hong Kong's house prices have moved up about 15 percent, with luxury flat prices surpassing their peak level in 1997 by 10 percent and prices of small-sized units increasing by 8.1 percent in the past six months. (One U.S. dollar equals 7.75 HK dollars)

Source: Xinhua

(Editor:叶欣)

  • Do you have anything to say?

双语词典
dictionary

  
Special Coverage
  • Premier Wen Jiabao visits Hungary, Britain, Germany
  • From drought to floods
Major headlines
Editor's Pick
  • Chinese Navy soldiers hold an evening party marking the upcoming 62nd National Day aboard Chinese Navy hospital ship "Peace Ark" in the Pacific on Sept. 28, 2011. The Chinese National Day falls on Oct. 1. (Xinhua/Zha Chunming)
  • Photo taken on Sept. 30, 2011 shows the crowd at the plaza of Beijing Railway Station in Beijing, capital of China. The railway transportation witnessed a travel peak with the approach of the seven-day National Day holidays on Friday. (Xinhua)
  • A man wearing high-heel shoes takes part in the 3rd annual Walk a Mile in Her Shoes, an event when men literally walk in women's shoes to raise awareness about ending violence against women, at Yonge-Dundas Square in Toronto, Canada, Sept. 29, 2011. (Xinhua/Zou Zheng)
  • Photo taken on Sept. 29, 2011 shows a cargo ship in danger on the sea near Zhuhai City, south China's Guangdong Province. Cargo ship Fangzhou 6 of Qingzhou of southwest China's Guangxi Zhuang Autonomous Region lost control after water stormed into its cabin due to Typhoon Nesat on the sea near Zhuhai Thursday, leaving 12 crew members in danger. Rescuers rushed to the ship and saved them by using a helicopter. (Xinhua)
  • Actress Gong Li poses for L'Officiel Magazine. (Xinhua Photo)
  • Demonstrators from the Occupy Wall Street campaign hold placards as they march in the financial district of New York September 29, 2011. After hundreds of protesters were denied access to some areas outside the New York Stock Exchange on September 17, demonstrators set up a rag-tag camp three blocks away. Zuccotti Park is a campground festooned with placards and anti-Wall Street slogans. The group is adding complaints of excessive police force against protesters and police treatment of ethnic minorities and Muslims to its grievances list, which includes bank bailouts, foreclosures and high unemployment. (Xinhua/Reuters Photo)
Hot Forum Discussion