Alastair Hughes, Asia-Pacific chief executive officer of Jones Lang LaSalle Inc., comments about outlook for China and the region’s property markets in an interview with Bloomberg Television.
“The Chinese government policy is to trail rises in residential property prices and it’s been very successful. They’ve also tried to increase the supply and to reduce demand. It’s worked. Prices have fallen across the board due to these controls.
“They’ve done what they intended to do, which is to take speculators off the market. At the moment, if you analyze all buyers of residential properties in China, 93 percent of them are buying for their own occupation, and only 7 percent are speculators.
“I’d be a little bit wary of the very high-end of residential markets in some of the key markets here in Asia, because you are betting against the government policy.”
--Bonnie Cao and Rishaad Salamat. Editor: Linus Chua
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