This showed that the ratio of investors entering the secondary property market has fallen back by a large amount back to the level during last year-end, before the speculative spirit started to kick up. In fact it was the lowest proportion ever recorded for this segment over the last year. Expensive properties had a very high investment value, but were also the most sensitive to changes in the investment climate. The wholesale decrease in corporate buyers reflected a large number of investors were withdrawing from the high-price segment. This reflected that in the past, during the peak of speculation in the property market, the investment climate in the low-priced segment was far less active than in the others.
Banks usually charge corporate property buyers a higher mortgage rate than personal buyers.
For this reason, properties for self-use tend not to be purchased under a corporate name. As a result, secondary properties being purchased by corporations could reflect the degree of investment activity in that market.