The major purpose of the index is to allow investors and buyers to compare the monthly price index of Sun Yuen Long Centre to that of the market, assisting them to make purchase decisions by observing the market trend.
Interpretation of the index
From the figure, it can be seen that the price trend of Sun Yuen Long Center follows a similar pattern as all other Class A, B and C properties represented by the RVD index. A peak is observed in 1997 followed by a substantial drop until 2003 when the price reaches the bottom and rise back steadily again. In recent years, price trend of the Sun Yuen Long Center observes greater magnitude of fluctuations.
Boom from 1995 to 1997
During 1995 to early 1997, there was a bloom in Hong Kong property market as the government was unable to meet the target for providing residential units, leading to a shortage in housing supply. There were also high amount of speculative activities, giving rise to asset bubbles as people were optimistic about prospects of Hong Kong after the return of sovereignty and the maximum loan-to-value ratio was high.
Peak at 1997 and collapse
The occurrence of the 1997 Asian Financial Crisis leads to market recession, affecting people’s confidence in purchasing real estate assets, thus lowering the demand for residential units. This significant change in Hong Kong housing price can be seen clearly from the graph.
Crest in 2003 and climbing back
The outbreak of SARS further deteriorated the market sentiment in investing housing assets, causing the housing price to continue dropping, down to the lowest point in the graph. Afterwards, the housing price generally follows an upward trend as reflected in both indices, except when the Global Financial Crisis hit Hong Kong in 2008, as well as the implementation of various property market regulatory measures in the past decade which lead to a small drop in the housing price.
The below is the price index numbers of Sun Yuen Long Center from November 1993 to July 2019:
(NA = no transaction in that month, hence no price index is generated)
| Date (Year/Month) | RVD index | Index of Sun Yuen Long Center |
|---|---|---|
| 1993/11 | 98.3 | 86.03933494 |
| 1993/12 | 101.1 | 87.73961972 |
| 1994/01 | 107.8 | 96.034788 |
| 1994/02 | 111.7 | 101.9004607 |
| 1994/03 | 119.4 | 110.1166666 |
| 1994/04 | 117.9 | 113.9368544 |
| 1994/05 | 116 | 107.4674945 |
| 1994/06 | 116.1 | 110.9934736 |
| 1994/07 | 113.7 | 107.7714114 |
| 1994/08 | 117.5 | 109.0731126 |
| 1994/09 | 116.3 | 113.6289582 |
| 1994/10 | 116.8 | 106.5344526 |
| 1994/11 | 115.1 | 107.5843751 |
| 1994/12 | 109.9 | 103.9906974 |
| 1995/01 | 110 | 109.6005521 |
| 1995/02 | 112.9 | 97.72207586 |
| 1995/03 | 113.5 | 100.7154757 |
| 1995/04 | 112.8 | 101.7676692 |
| 1995/05 | 110.2 | 102.2474094 |
| 1995/06 | 108.2 | 101.8652092 |
| 1995/07 | 106.5 | 92.64745885 |
| 1995/08 | 105.1 | 93.14845599 |
| 1995/09 | 101.8 | 90.15672487 |
| 1995/10 | 101 | 84.84411098 |
| 1995/11 | 103.3 | 88.02347669 |
| 1995/12 | 104.2 | 93.96294623 |
| 1996/01 | 105.4 | 90.18260355 |
| 1996/02 | 108.7 | 96.76569062 |
| 1996/03 | 113.1 | 95.126778 |
| 1996/04 | 112.1 | 100.516759 |
| 1996/05 | 113.5 | 103.126919 |
| 1996/06 | 115 | 105.3573008 |
| 1996/07 | 114.6 | 106.5739841 |
| 1996/08 | 117.6 | 106.3934944 |
| 1996/09 | 118.2 | 111.0097909 |
| 1996/10 | 123 | 114.092142 |
| 1996/11 | 127.8 | 121.5617473 |
| 1996/12 | 134.2 | 133.7390185 |
| 1997/01 | 141.7 | 141.7649265 |
| 1997/02 | 153.7 | 152.6786199 |
| 1997/03 | 162.1 | 161.728362 |
| 1997/04 | 156.8 | 172.453409 |
| 1997/05 | 172 | 174.5531184 |
| 1997/06 | 171.6 | 189.3948604 |
| 1997/07 | 166.7 | 193.0213938 |
| 1997/08 | 170.7 | 187.8004663 |
| 1997/09 | 170.1 | 190.0699271 |
| 1997/10 | 172.3 | 192.2618094 |
| 1997/11 | 159.8 | 188.4579768 |
| 1997/12 | 154.9 | 173.7963309 |
| 1998/01 | 143.6 | 149.5754881 |
| 1998/02 | 136.5 | 133.0327424 |
| 1998/03 | 139 | 143.2403849 |
| 1998/04 | 134.6 | 137.4362619 |
| 1998/05 | 127.8 | 134.434659 |
| 1998/06 | 112.5 | 109.8990712 |
| 1998/07 | 108.1 | 105.4836999 |
| 1998/08 | 104.9 | 110.0542481 |
| 1998/09 | 98.5 | 97.25170285 |
| 1998/10 | 95.7 | 94.54080227 |
| 1998/11 | 100.4 | 102.1964007 |
| 1998/12 | 104.8 | 107.8849544 |
| 1999/01 | 104 | 104 |
| 1999/02 | 102.3 | 110.0052849 |
| 1999/03 | 102 | 113.4450285 |
| 1999/04 | 102.1 | 106.0338555 |
| 1999/05 | 103.1 | NA |
| 1999/06 | 102.2 | 113.1701446 |
| 1999/07 | 101.4 | 101.8850749 |
| 1999/08 | 100.5 | 107.6537894 |
| 1999/09 | 97 | 106.6170487 |
| 1999/10 | 95.7 | 101.5959287 |
| 1999/11 | 94 | 104.1563824 |
| 1999/12 | 95.6 | 100.7570797 |
| 2000/01 | 97.2 | 101.7645144 |
| 2000/02 | 97.3 | 106.5686556 |
| 2000/03 | 95 | 103.7862451 |
| 2000/04 | 93.6 | 106.0069263 |
| 2000/05 | 89.8 | 95.37996114 |
| 2000/06 | 85.6 | 87.24860439 |
| 2000/07 | 86.3 | 75.67347185 |
| 2000/08 | 86.8 | 92.33687067 |
| 2000/09 | 87.8 | 93.75926784 |
| 2000/10 | 86.6 | 98.73351787 |
| 2000/11 | 83.2 | 87.50085488 |
| 2000/12 | 81.3 | 85.71472038 |
| 2001/01 | 80.2 | 90.58716534 |
| 2001/02 | 79.8 | 86.85695485 |
| 2001/03 | 81.8 | 88.11189658 |
| 2001/04 | 81.9 | 83.28517787 |
| 2001/05 | 80.2 | 82.98082849 |
| 2001/06 | 80.7 | 84.2451153 |
| 2001/07 | 79.9 | 82.86788561 |
| 2001/08 | 78.2 | 85.3857803 |
| 2001/09 | 76.9 | 81.64189996 |
| 2001/10 | 73.9 | 79.24637181 |
| 2001/11 | 73.3 | 70.0540238 |
| 2001/12 | 73.5 | NA |
| 2002/01 | 73.9 | 82.55069608 |
| 2002/02 | 73.6 | 68.45685744 |
| 2002/03 | 73 | 76.51491229 |
| 2002/04 | 72 | 79.57147126 |
| 2002/05 | 72.1 | 75.44317042 |
| 2002/06 | 71.5 | 72.56971524 |
| 2002/07 | 70.6 | 75.80730499 |
| 2002/08 | 67.9 | 71.79499 |
| 2002/09 | 66.3 | NA |
| 2002/10 | 64.8 | 69.72637936 |
| 2002/11 | 64.5 | 68.67743762 |
| 2002/12 | 64.2 | 68.46651054 |
| 2003/01 | 63 | 68.56476188 |
| 2003/02 | 62.9 | 36.1053899 |
| 2003/03 | 60.7 | 73.08460075 |
| 2003/04 | 60 | 55.66290061 |
| 2003/05 | 59.2 | 60.82742814 |
| 2003/06 | 58.8 | 57.36313488 |
| 2003/07 | 57.9 | 55.33114063 |
| 2003/08 | 58 | 58.57598694 |
| 2003/09 | 60.3 | 61.5145542 |
| 2003/10 | 62.6 | 66.27108977 |
| 2003/11 | 63.6 | 66.1916784 |
| 2003/12 | 64.5 | 74.85730254 |
| 2004/01 | 68.5 | 60.81739245 |
| 2004/02 | 72.1 | 75.97996282 |
| 2004/03 | 76.7 | 77.2907007 |
| 2004/04 | 78 | 79.79538139 |
| 2004/05 | 76.2 | 74.06859887 |
| 2004/06 | 73.3 | 81.02644761 |
| 2004/07 | 73.5 | 86.54396674 |
| 2004/08 | 76.3 | 78.49065998 |
| 2004/09 | 79.4 | 80.50961509 |
| 2004/10 | 82.4 | 83.01518965 |
| 2004/11 | 80.9 | 82.05088525 |
| 2004/12 | 81.5 | 88.07269553 |
| 2005/01 | 83.8 | 87.12096597 |
| 2005/02 | 87.9 | 82.77164912 |
| 2005/03 | 93.1 | 92.46133215 |
| 2005/04 | 93.8 | 95.33447578 |
| 2005/05 | 93.8 | 95.9745931 |
| 2005/06 | 91.2 | 96.38393115 |
| 2005/07 | 91.1 | 100.0583457 |
| 2005/08 | 92.3 | 97.78659368 |
| 2005/09 | 92.4 | 102.2638725 |
| 2005/10 | 90.2 | 98.9685854 |
| 2005/11 | 86.9 | 95.72356468 |
| 2005/12 | 88.5 | 91.41252774 |
| 2006/01 | 89.4 | 87.27905944 |
| 2006/02 | 89.6 | 95.13905014 |
| 2006/03 | 91.2 | 94.75366366 |
| 2006/04 | 91.9 | 92.97154909 |
| 2006/05 | 92.4 | 95.30283001 |
| 2006/06 | 90.7 | 88.96451232 |
| 2006/07 | 90.4 | NA |
| 2006/08 | 91.2 | 94.56425128 |
| 2006/09 | 91.6 | 87.22609716 |
| 2006/10 | 91.3 | 86.24857837 |
| 2006/11 | 91.3 | 80.76991986 |
| 2006/12 | 92 | 86.56499947 |
| 2007/01 | 93.3 | 83.44315281 |
| 2007/02 | 94.7 | 83.19710881 |
| 2007/03 | 96 | 87.23577979 |
| 2007/04 | 96.7 | 88.36955915 |
| 2007/05 | 98.6 | 94.12394846 |
| 2007/06 | 99.5 | 93.9850301 |
| 2007/07 | 100.8 | 94.90301817 |
| 2007/08 | 101.8 | 98.37369929 |
| 2007/09 | 103.1 | 99.13856118 |
| 2007/10 | 106.2 | 97.91879256 |
| 2007/11 | 110.9 | 102.2817703 |
| 2007/12 | 115.4 | 99.46506502 |
| 2008/01 | 120.8 | 110.1360488 |
| 2008/02 | 123.3 | 113.8202428 |
| 2008/03 | 124.1 | 116.3663462 |
| 2008/04 | 122.4 | 111.0986342 |
| 2008/05 | 124.2 | 116.1206078 |
| 2008/06 | 124.4 | 116.8870833 |
| 2008/07 | 122.9 | 114.905308 |
| 2008/08 | 121 | 104.3607289 |
| 2008/09 | 120.2 | 112.0997833 |
| 2008/10 | 112.9 | 106.6673838 |
| 2008/11 | 103.8 | NA |
| 2008/12 | 103.7 | 102.7547885 |
| 2009/01 | 106 | 100.2063412 |
| 2009/02 | 106.6 | 100.3042906 |
| 2009/03 | 108.1 | 101.8161221 |
| 2009/04 | 112.3 | 106.7732503 |
| 2009/05 | 115.5 | 108.5496225 |
| 2009/06 | 119.7 | 113.994521 |
| 2009/07 | 122.5 | 118.1793471 |
| 2009/08 | 125.6 | 122.0689855 |
| 2009/09 | 128 | 130.2331487 |
| 2009/10 | 129.9 | 133.9861286 |
| 2009/11 | 130.5 | 132.9802049 |
| 2009/12 | 133 | 135.2952287 |
| 2010/01 | 136.5 | 142.5693054 |
| 2010/02 | 139 | 143.4060664 |
| 2010/03 | 141.6 | 145.7112932 |
| 2010/04 | 144.9 | 151.1949699 |
| 2010/05 | 144.2 | 151.9865746 |
| 2010/06 | 145.4 | 148.2513596 |
| 2010/07 | 149.7 | 147.8958353 |
| 2010/08 | 153.4 | 153.2507067 |
| 2010/09 | 154.5 | 152.9044456 |
| 2010/10 | 158.7 | 158.5132465 |
| 2010/11 | 162.3 | 161.1819986 |
| 2010/12 | 161.6 | 158.468869 |
| 2011/01 | 168.1 | 168.3168346 |
| 2011/02 | 175.2 | 170.7989465 |
| 2011/03 | 178.3 | 181.2177005 |
| 2011/04 | 182 | 181.8076157 |
| 2011/05 | 184.6 | 184.3269462 |
| 2011/06 | 186.8 | 183.5736712 |
| 2011/07 | 184.1 | 181.8159791 |
| 2011/08 | 183.3 | 186.7528441 |
| 2011/09 | 184.5 | 185.6921244 |
| 2011/10 | 181.9 | 182.3529454 |
| 2011/11 | 180.7 | 178.9511891 |
| 2011/12 | 179.8 | 181.2099083 |
| 2012/01 | 178.6 | 176.558116 |
| 2012/02 | 182.7 | 182.1592073 |
| 2012/03 | 191.2 | 185.5057832 |
| 2012/04 | 197.5 | 195.0238823 |
| 2012/05 | 202.1 | 202.5674665 |
| 2012/06 | 204 | 208.3161713 |
| 2012/07 | 204.9 | 196.6508888 |
| 2012/08 | 209.7 | 202.8044061 |
| 2012/09 | 216.8 | 217.3823862 |
| 2012/10 | 222.8 | 230.4368631 |
| 2012/11 | 225.1 | 227.7184324 |
| 2012/12 | 226.8 | 229.1491074 |
| 2013/01 | 231.9 | 230.5744749 |
| 2013/02 | 239.5 | 253.3233785 |
| 2013/03 | 239.5 | 258.8808284 |
| 2013/04 | 238.9 | NA |
| 2013/05 | 240.4 | 259.6957703 |
| 2013/06 | 243.1 | 250.0424884 |
| 2013/07 | 244.9 | 247.8510258 |
| 2013/08 | 246.1 | 255.6204794 |
| 2013/09 | 245.3 | 253.645557 |
| 2013/10 | 245.3 | 233.260978 |
| 2013/11 | 244.9 | 235.4470147 |
| 2013/12 | 245 | 248.4438493 |
| 2014/01 | 244.7 | 260.0718218 |
| 2014/02 | 244.3 | 253.5027948 |
| 2014/03 | 243.7 | 247.5631903 |
| 2014/04 | 245 | 251.2395469 |
| 2014/05 | 247.4 | 252.5264133 |
| 2014/06 | 250.3 | 257.0243529 |
| 2014/07 | 256.6 | NA |
| 2014/08 | 261.5 | 251.1355553 |
| 2014/09 | 266.7 | 259.8542329 |
| 2014/10 | 270.9 | 279.9527338 |
| 2014/11 | 274.7 | 284.6797231 |
| 2014/12 | 278.9 | 282.6741369 |
| 2015/01 | 285.3 | NA |
| 2015/02 | 292.3 | 247.6453949 |
| 2015/03 | 292.3 | 278.1250369 |
| 2015/04 | 298.4 | 299.0048329 |
| 2015/05 | 299.9 | 296.1727039 |
| 2015/06 | 302.3 | 288.3793386 |
| 2015/07 | 305.3 | 297.2875169 |
| 2015/08 | 306.6 | 327.3309295 |
| 2015/09 | 307.3 | 323.8348563 |
| 2015/10 | 303.9 | NA |
| 2015/11 | 294.7 | NA |
| 2015/12 | 286.2 | NA |
| 2016/01 | 280.1 | NA |
| 2016/02 | 274.5 | 324.5234121 |
| 2016/03 | 272.1 | NA |
| 2016/04 | 274 | 289.8706409 |
| 2016/05 | 276.5 | NA |
| 2016/06 | 277.1 | NA |
| 2016/07 | 282.5 | NA |
| 2016/08 | 288.5 | 278.2616297 |
| 2016/09 | 297.2 | 291.8560651 |
| 2016/10 | 305.5 | 322.9536082 |
| 2016/11 | 307.9 | 316.5577529 |
| 2016/12 | 308.7 | 318.0570265 |
| 2017/01 | 311 | NA |
| 2017/02 | 315.4 | 316.790825 |
| 2017/03 | 322.8 | 339.0310352 |
| 2017/04 | 331.9 | 333.3245579 |
| 2017/05 | 335.5 | 351.6852599 |
| 2017/06 | 338.1 | 329.5630451 |
| 2017/07 | 339.5 | NA |
| 2017/08 | 341.8 | 311.7048383 |
| 2017/09 | 342.9 | 341.6618985 |
| 2017/10 | 346.4 | 356.1003664 |
| 2017/11 | 349.2 | 362.1163641 |
| 2017/12 | 354.7 | 351.5273888 |
| 2018/01 | 360.5 | 359.273743 |
| 2018/02 | 366.9 | 393.7107693 |
| 2018/03 | 372.6 | 384.3000271 |
| 2018/04 | 379.8 | 371.3208788 |
| 2018/05 | 386.2 | 354.537677 |
| 2018/06 | 394.1 | 404.4861652 |
| 2018/07 | 397.8 | 370.5834266 |
| 2018/08 | 397.7 | 362.7459064 |
| 2018/09 | 392.7 | NA |
| 2018/10 | 381.9 | 396.6354301 |
| 2018/11 | 369.8 | 319.6442607 |
| 2018/12 | 361.9 | NA |
| 2019/01 | 363.4 | 363.9365738 |
| 2019/02 | 369.5 | 384.4818439 |
| 2019/03 | 381.4 | 393.7517174 |
| 2019/04 | 395.2 | 376.8263915 |
| 2019/05 | 399.9 | 363.0935833 |
| 2019/06 | 398.7 | 319.27305 |
| 2019/07 | 398.2 | 370.8447799 |