The government’s Policy Address for next year proposes two new property measures, which a real-estate professional views as the first significant “sweetener” for the property market in 16 years and anticipates will help stabilize the market from its current state of extreme pessimism.
The Policy Address outlines that eligible residents purchasing residential units will be exempt from stamp duty on property transfers for the first MOP6 million.
In addition, the Monetary Authority of Macao (AMCM) has recommended raising the maximum loan-to-value ratio for property mortgages from 70% to 80%, with both measures slated to take effect simultaneously.
In a statement to the Times, Roy Ho, director of Centaline Macau and Zhuhai Hengqin Property, commented on the potential impact of these property market policies on market trends.
He said that the effectiveness of the measures ultimately hinges on data, but they clearly reflect the government’s strong commitment to stabilizing the property market.
“The rollout of a series of favorable policies is expected to support transaction volumes,” he noted. Ho added that homebuyers could save approximately MOP12,000 in tax expenses and flexibly structure mortgage loan-to-value ratios to suit their individual needs.
“This series of moves is unprecedented,” he emphasized. “We expect the market to stabilize soon from its current extreme pessimism. Properties that currently don’t even cover basic costs like land and construction fees will gradually rebound to more reasonable levels.”
In an interview with Chinese media outlet Exmoo, published yesterday, the realtor noted a surge in property viewing appointments, which immediately doubled following the announcement, reflecting improved owner sentiment and narrower negotiation margins.
He remarked, “The market’s panic-driven price cuts have eased,” highlighting the practicality of the measure. As quoted by the media, he stated, “This government policy can help homebuyers save MOP120,000 – it’s truly a helpful policy.”
Describing it as a “timely rain,” he expressed optimism that it could reverse the property market’s decline over the next year, restoring confidence in various areas, including social stability and homebuyer spending.
Commenting on the new market measures, he noted that the room for negotiation has narrowed significantly, limiting buyers’ ability to push prices down. “Previously, a property valued at MOP10 million might see an owner asking for MOP6 million, with a buyer offering MOP5.5 million accepted. But after the policy announcement, if a buyer offers MOP5.5 million for the same property, the owner won’t agree – most are now asking for MOP5.9 million to MOP6 million,” as reported by Exmoo.
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