After the 7th wave of credit control, the number of new units sold nationwide in one year was less than the number of units purchased in the first quarter before going on the road.

Affected by the central bank's strict control measures and the concentration of funds in the stock market, the housing prices of new buildings in Taiwan are still at a relatively high level. (Photo by reporter Xu Yiping)

[Reporter Xu Yiping/Taipei Report] After the central bank imposed the seventh wave of selective credit controls, the number of new sales units nationwide in 30 days in 2025 and the total number of sold households in the four quarters were less than the buying momentum in a single quarter before the credit controls.

According to the latest Cathay Real Estate Index, the total number of newly built units sold in the country in the 30 days in the four quarters of 2025 was 4,457. Compared with the second quarter of 2024, the hottest buying period before the credit control, the number of units sold in a single quarter soared to 6,114. There is actually a sluggish market situation with 1,657 fewer units sold year-on-year than in the previous quarter.

Funds are concentrated in the stock market

He Shichang, CEO of Xinchuan Real Estate Think Tank, pointed out that although the housing prices of newly constructed housing in Taiwan are still relatively high due to the impact of the central bank's strict control measures and the concentration of funds in the stock market, the transaction volume has shrunk sharply. In 2025, the transaction value of pre-sale housing in Taiwan will be less than 800 billion yuan. It is estimated that the transaction value for the entire year this year will be around 800 billion yuan. On the other hand, the single-day trading volume of the Taiwan stock market frequently exceeds 1 trillion, and the pre-sale housing sales have been less than the single-day trading volume of the Taiwan stock market for a whole year, which shows the extent of the market's severe damage.

Real estate industry players pointed out that if we look at the timeline longer, in the second quarter of 2024, the quarter before the central bank introduced the seventh wave of selective credit controls, there were 6,114 new households in the country. Even at the end of the third quarter, that is, in September, when the central bank introduced the latest credit controls, there were still 4,728 households in the third quarter. However, in the fourth quarter, there was an avalanche of decline, with only 2,436 units sold in the entire quarter, and the purchase momentum in a single quarter fell by nearly 50%. Buying gas throughout 2025 is more like going into a freezer. The number of households sold in 30 days throughout the year is only 4,457, which is only about 73% of the second quarter of 2024.

Zeng Jingde, project manager of Xinyi Housing Real Estate Enterprise Research Office, said that the pre-sale market transactions are sluggish, mainly due to the obvious increase in the past. After the policy suppression, people did not think that it would be more expensive if they did not buy. The housing market showed case-by-case performance. At the same time, due to the sluggish market conditions, developers were not active in promoting projects, and the lack of new incentives was not easy to increase transactions.

Huang Shuwei, director of the Real Estate Owner Representative Service Department of Colliers International, said that new construction projects can be divided into two categories, one is sold as an existing house, and the other is sold as a pre-sale. The former is mainly affected by the central bank's credit control. Only first-time purchases and self-use can obtain more reasonable financing conditions. Relatively speaking, The loan ratios for multi-household households, investors, and luxury home products are all below 30%, which directly cuts off the buying momentum. On the other hand, the new supply released by the large number of housing transfers often uses the original pre-sale price, and even investors use breaking prices and cut-off prices to grab customers, which also seriously undermines price confidence and aggravates the wait-and-see mentality. In addition to being subject to credit control, pre-sale houses are also subject to credit control. Even if there are no loan problems when signing the pre-sale sales contract, sooner or later they will face insufficient loan percentage for the completion and handover of the house, which will cause pressure and storm to terminate the contract.

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