Parking Spots in Hong Kong Selling for $500,000+

Those who live in big cities can attest to fact that it is not only difficult to find a parking spot, but it is also expensive. Midtown Manhattan and Downtown  Manhattan boast the most expensive monthly fees that residents pay for a parking space, at $541 and $533, respectively. Other cities with steep monthly parking rates include Boston ($438) and San Francisco ($375). In large cities like these, apps such as Parker and BestParking can help drivers find parking spaces based on price and location.

But these prices are nothing compared to Honk Kong, where parking spots are bought and sold like investment property. CNN Money reports that, In May, a single parking spot in a residential neighborhood of Hong Kong Island sold for 4.24 million Hong Kong dollars, which translates into a shocking $547,000. This lofty price reflects the classic principles of supply and demand: the city has only 683,000 parking spots for a population of 7 million+. Although the 6.2% car ownership rate in Hong Kong is among the lowest in the world, most homes do not come with a garage or driveway, driving demand for parking places. The city government has extended a tax intended to cool the residential property market to parking spaces, but demand is still high along an increase in investment dollars. The number of registered parking spots sold in August increased by 29% to 956 since July, reaching the highest level in 20 months.