International News

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USA mortgage rates rose for the first time since May to 6.95%

Author : PNT Bureau

The average rate on a 30-year mortgage rose to 6.95% this week, the first increase since late May, adding to borrowing costs and exacerbating the ongoing slump in home sales since 2022. Borrowing costs for 15-year fixed-rate mortgages also rose. Mortgage rates, influenced by the Fed's policy and the 10-year Treasury yield, have fluctuated around 7% this year. While the Fed signals a potential rate cut by year's end, analysts expect mortgage rates to remain above 6%. Despite declining sales, home prices hit a record high in May. Elevated rates and prices continue to deter many potential buyers....

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UK election boosts opportunities for Indian construction workers with promise to build 300,000 homes annually

Author : PNT Bureau

The recent UK election, resulting in a Labour Party victory and Sir Keir Starmer becoming Prime Minister, could significantly benefit migrant Indian construction workers. A note from London-based Immigration Advisory legal firm A Y & J Solicitors highlights that fulfilling the promise to build 300,000 homes annually will increase demand for skilled construction workers. The note reviews the UK's current immigration policies and the potential for changes under the new government, emphasising the construction industry's reliance on overseas workers due to a domestic skills shortage. This scenario presents a promising opportunity for skilled Indian construction workers seeking better prospects in the UK....

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UK housing market shifts to slower growth amid rising interest rates

Author : PNT Bureau

The British housing market is experiencing a phase of slower growth, with prices increasing by just 0.2% in June 2024, as reported by Nationwide. Despite a 1.5% year-on-year rise, prices are still 3% below their peak. Higher interest rates, driven by the Bank of England, are making mortgages costlier, affecting affordability. Projections indicate a modest 1.8% price increase for 2024. The Labour Party proposes easing planning rules to boost construction and address affordability concerns. As the market stabilises, buyers may find more opportunities, while sellers face a less frenzied but still resilient market....

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Hong Kong property stocks rise as data shows narrowing sales decline for Chinese developers

Author : PNT Bureau

Hong Kong property stocks surged as private data revealed a narrowing decline in year-on-year sales for major Chinese developers in June. The Hang Seng Mainland Properties Index rose 3.5% by midday, driven by gains in companies like Longfor Group and Shimao Group. This comes after a multi-trillion yuan government support package aimed at stabilising the property sector. Data showed a 36.3% month-to-month sales increase among China's top 100 developers. CRIC predicts further improvement, with more home purchases expected in July. However, the long-term impact of the support package and the performance of smaller developers remain uncertain....

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Japan's land prices rise 2.3 percent in 2023 driven by tourism recovery

Author : PNT Bureau

Land prices in Japan grew by 2.3% in 2023, the highest rate of growth since 2010, according to a National Tax Agency poll. After 2.5% growth in 2022 and a 0.5% increase in 2021, this year's increase in prices was the third in a row. Out of 47 prefectures, 29 saw an increase in land prices, including Tokyo, Hokkaido, and Okinawa. The largest rise, 5.8%, was recorded in Fukuoka Prefecture due to reconstruction and a rebound in tourism. Ginza in Tokyo continues to be the most expensive place in Japan. The study reveals strong demand, supported by a rebound in tourism and a depreciating yen, for both residential and commercial land....

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Singapore adopts inclusive housing reforms

Author : PNT Bureau

Singapore is enhancing its public housing for inclusivity and accessibility, balancing homebuyers' aspirations with community goals. In 2023, the market saw a significant new supply, with 21,400 HDB flats and 20,400 units from private developers. GLS tenders are expected to yield 9,250 residential units, a decade-high record. The steady supply aims to stabilise the market, with HDB resale demand driven by private homeowners downgrading. In Q1 2024, 185 resale flats sold for at least SGD 1 million. New BTO classifications - Standard, Plus, and Prime - launching in H2 2024, and policy changes benefit singles, reflecting efforts to make housing more inclusive and affordable....

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Vacation rentals in Hawaii account for nearly 6% of the housing supply

Author : PNT Bureau

Despite regulatory efforts, vacation rentals remain a significant part of Hawaii's housing stock. Converting these rentals to long-term housing is seen as a solution to the critical housing demand, but new short-term listings continue to rise. The Hawaii Housing Factbook 2024 reports 32,000 short-term rentals, making up nearly 6% of the state's housing. Efforts to regulate have not significantly shifted the market. Maui is the only county with a bill to amortise vacation rentals. Effective policy implementation and cooperation between stakeholders are essential to balance residents' housing needs and the tourism economy for a sustainable housing market....

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Parcl Labs study warns of potential price correction in Florida housing market

Author : PNT Bureau

A recent study by Parcl Labs raises concerns about a possible price correction in Florida's housing market, driven by an imbalance between supply and demand. Analysing data from 1,000 U.S. housing markets, the study identifies thirteen of the top fifteen markets at risk for price drops are in Florida. Cities like Pensacola and North Port have seen significant increases in new listings (+52% and +50%, respectively) alongside decreases in buyer demand, signalling a potential softening in home prices. Price cuts are also on the rise across Florida, suggesting shifting market dynamics post-pandemic. As market conditions evolve, both buyers and sellers should monitor these trends closely....

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Singapore's private home prices show signs of cooling with 1.1% rise in Q2 2024

Author : PNT Bureau

Singapore's private home prices increased by just 1.1% in Q2 2024, down from 1.4% and 2.8% in the previous quarters, reflecting a cooling market. The first half of 2024 saw a total price rise of 2.5%, lower than the 3.1% in H1 2023 and 4.2% in H1 2022. Landed properties drove the increase with a 1.8% rise, while city fringe areas saw 2.2% growth. Resale transactions hit 3,344 units in Q2, up from 3,066 in Q1. Analysts predict a 1-5% price growth for 2024, with revised new home sales estimates of 5,500-7,000 units....

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Capgemini to launch new 6000,000 sq ft facility in Chennai

Author : PNT Bureau

Capgemini is set to launch a new facility in Chennai, investing INR 1,000 Crores over three years. The six lakh square feet campus, housing around 5,000 seats, aims for completion by 2027. It will feature high-tech equipment as well as recreational amenities to enhance employee wellbeing and create a dynamic work environment. Sustainability is a key focus, with efficient technology and environment friendly practices. Tamil Nadu's Industries Minister supports the project, which aligns with the state's economic goals. Capgemini has also pledged INR 3 crores for local school improvements, highlighting its commitment to local talent and community welfare....