By RK Shih / Staff
KAOHSIUNG — UDN reports that Kaohsiung now has the highest negotiated discount rate (議價率) among Taiwan’s six major cities, reaching 17.1% so far this year—up 4.3 percentage points from last year—according to new transaction data analyzed by real estate research teams.
Analysts say this widening gap between listing price and closing price reflects a clear change in market psychology: sellers can no longer assume buyers will accept near-full asking prices, and buyers are reasserting bargaining confidence across the city.
With the central bank maintaining strict credit controls, the overall market is gradually shifting toward a buyer’s market (買方市場). This is especially evident in Kaohsiung, where both resale sellers and developers have begun showing more flexibility.
What Does This Mean?
For buyers:
A higher discount rate is generally good.
It means:
- You have more bargaining power
- Sellers are more willing to adjust prices
- The market is no longer overheated
- You’re less likely to face bidding wars or “開價即成交價” pressure
In Kaohsiung’s case, a 17.1% discount signals that buyers can realistically negotiate six-figure reductions on many listings.
For sellers:
A higher discount rate can feel negative, because:
- Properties take longer to sell
- Holding firm on price is harder
- Buyers expect concessions
- Developers may need promotions or incentives
However, analysts emphasize this doesn’t mean Kaohsiung’s prices will fall dramatically. Instead, the market is normalizing, shifting away from the overheated “sellers’ advantage” of the past few years.
For the overall market:
Most experts consider rising discounts a sign of healthy correction, not collapse:
- More rational pricing
- Fewer speculative purchases
- More stable long-term conditions
- Better alignment with income levels
In short, discounts rising = market cooling into balance, which is usually healthier for a city’s long-term housing stability. A real estate analyst quoted in the report noted that the widened negotiation room in Kaohsiung shows the market is returning to fundamentals. Under tighter mortgage rules, neither existing homeowners nor developers can treat prices as “non-negotiable.” But the analyst also cautioned buyers that waiting too long can backfire:
- Good units in stable neighborhoods still move quickly
- Interest rates or credit rules could change
- Aggressive underbidding may cause buyers to miss solid opportunities
An expert offered this advice for Kaohsiung households: negotiate confidently, but evaluate value realistically.
