Australia Network News@HK estate agents protest price-curbing measures(07-07-2013)

Thousands of Hong Kong real estate agents have protested against government efforts to curb soaring property prices.

Organisers say 23,000 people took part in the rally, although police put the number at just over 5,000.

The protesters marched through the busy Causeway Bay shopping district chanting slogans, before they assembling at the government headquarters at the east of the central business district.

The agents say new transaction taxes and other measures are threatening their business.

Spokesman for the rally organisers, Raymond Ho, says the policies have frozen the market.

"There are 37,000 agents in Hong Kong and there were only 3,000 transactions last month," he said.

"A lot of small property agent firms will close in the future."

Home prices in the crowded city have risen by 120 per cent since 2008, driven by low interest rates and wealthy buyers from mainland China.

An 81 square metre apartment in the midrange Tai Koo Shing estate sold for more than US$1.29m last year, after being priced at about $385,000 in 2003.

Mr Ho says 90 percent of property agents did not receive commissions last month and the number of transactions has dropped 70 percent since the government introduced cooling measures.

AFP