The Consumer Confidence Index (CCI) has dropped for the eighth month in a row. That’s according to a report that the National Central University’s Research Center for Taiwan Economic Development released on Monday.
The report put the CCI at 81.61 points in December. That’s down 2.59 points from the previous month. A value of between 0 and 100 indicates pessimism while a reading above 100 indicates optimism.
One of the indexes, durable goods, which looks at the real estate market in the next six months, plunged 6.90 points from November to 94.65 points. That’s a record low since July, 2013.
The research center’s director, Wu Dachrahn, said that home buyers are more conservative than in the past. That’s with supply outstripping demand and a new land tax set to go into effect next year.
“The current number of transactions is going down because of the tax increase. […] The more than needed supply has put pressure on housing prices. Therefore, the public is a bit more pessimistic about the real estate market.”
Three other indices -- the domestic economic outlook, stock investment and household income -- also registered drops. Only two indices, consumer prices and job opportunities, rose.