Anticipation that a wave of cash from mainland China will eventually reach Taiwan is helping to turn its real estate into a hot property.
Markets in Taiwan, one of Asia's worst laggards as an investment destination in recent years, were livened up by the Nationalist Party's victory in the March 22 presidential election. On May 20, winner Ma Ying-jeou will be inaugurated, succeeding Chen Shui-bian of the Democratic Progressive Party.
Billy Yen, general manager for property brokerage DTZ Taiwan, estimates that home prices have risen as much as 30% since the voting. And he thinks that by the end of 2008, prices could be 60% higher than they were March 22.
The sharp change in sentiment is rooted in Mr. Ma's pledge to open Taiwan's property market to Chinese investors as part of a broader effort to more closely tie the economies of the mainland and Taiwan.
I guess Morgan Stanley missed it, else they would've jumped up with a newly created Taiwan Property ETF. Looks like it worth looking into.
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