House prices were down 1.55% during 2021
Macau’s housing market remains weak, despite a recovering economy. The average transaction price of residential units fell by 1.55% in 2021, following a slight increase of 1.25% the previous year. Quarter-on-quarter, house prices declined 0.88% during the latest quarter.
Macau’s housing market grew strongly in 2017 and 2018, supported by robust economic growth and massive infrastructure investments. The economy was estimated to have expanded by 5.4% in 2018, down from a spectacular 9.9% in 2017, but this was a sharp turnaround from economic declines of 0.7% in 2016, 21.6% in 2015, and 1.2% in 2014.
- The 200,000 sq. m. Taipa maritime terminal began operations in June 2017, increasing travel within Macau and its neighbouring cities, and providing direct connections to the planned light rail transit system.
- Construction of the Gongbei tunnel, the only link connecting Zhuhai with the Hong Kong-Zhuhai-Macau bridge, started in April 2017. The bridge is scheduled to open this year.
- The Shenzhen-Zhongshan tunnel, a key infrastructure development in the Greater Pearl River Delta, is also under construction. The project, scheduled to open in 2024, will reduce the average travel time between Shenzhen and Zhongshan from two hours to less than 30 minutes.
- Beijing has also committed to a comprehensive Guangdong-Hong Kong-Macau Bay Area development plan to increase connectivity, trade and investment between the three regions.
However, Macau’s housing market slowed sharply in the past two years, as slower economic growth in Mainland China, as well as the civil unrest in Hong Kong, has adversely impacted Macau’s gaming, tourism, and property sectors. The fallout from the fast-spreading COVID-19 added another blow to Macau’s already ailing economy last year.
Rents, rental yields: no yields data available for Macau.
Recent news. Macau’s economy grew by about 20.4% y-o-y in 2021, partially offsetting the massive 56.3% contraction seen in 2020, according to the International Monetary Fund (IMF). The economy is projected to expand by another 37.6% this year.