Property market faces continued struggles despite modest February gains

Macau’s property market is experiencing ongoing challenges, despite a small improvement in prices and sales in February compared to previous lows.

Recent figures from the Financial Services Bureau (DSF) show that the average price of residential property in Macau rose to MOP76,243 per square meter in February, marking an 11.6% decline from the previous year.

This is a 6% increase from January’s MOP71,917 per square meter, the lowest price since August 2013.

However, the number of home sales in February was 176, reflecting a 34.8% drop from January but a 33.3% increase from the same month a year ago.

The downturn in the market has persisted since the Covid-19 pandemic, despite government measures aimed at boosting market confidence.

These include interest rate cuts and the removal of long-standing property cooling measures, such as special stamp duties on property resales and purchases by non-residents.

Despite these efforts, the residential property price index hit a six-year low between November 2024 and January 2025.

Most homebuyers in February were locals, with first-time buyers making up a significant portion of the market.

Earlier this year, the Association of Property Agents and Realty Developers of Macau said that the city’s property sector is grappling with its worst downturn in four decades, as house prices plummet to levels not seen since 2012.

“Real estate is in the worst environment in 40 years,” said Ung Choi Kun, head of the association.