RHB: Resale volume continue to grapple with rising interest rates
The new home sales fell short of the broker’s expectations at 7,384.
Resale volume will keep slowing down as new home sales are below expectations at 7,834 units, RHB said.
In 2023, new sale volume will inch up to 8,000 to 9,000 but it will still take a hit on pricing expectation mismatch and rising interest rates.
“We expect resale volume to be 5%-20% year-on-year lower in 2023,” said RHB in its brokerage report.
On the developers' side, earnings are expected to be backed by healthy pre-sales and investment income.
Local residential market will remain resilient in 2023 despite rising interest rate pressures.