Home-buying interest has shown no sign of abating as secondary sales volume increased for three straight weeks, with units offered in the mid-price range outperforming other sectors.

There were 570 deals in the week to Sunday in the 50 key housing estates Ricacorp Properties monitors, up 36% from a week earlier.

"Both end-users and investors are looking for lag in the market," Patrick Chow Moon-kit, the head of research at Ricacorp, said. "It is not surprising to see strong property demand as people who just keep their savings in the bank will lose money when interest rates are lower than inflation."

He said the buying spree would have been more frenetic if there had been another bull run in the Hang Seng Index.

Overall, home prices in the secondary market rose 0.6% last week from the week before, Chow said.

South China Morning Post