View of the skyscrapers and high-rising buildings in Hong Kong in February Photo: IC

Ongoing violence in Hong Kong has seriously hurt the city's economy, and the property market, a core industry, is feeling the chill. 

According to statistics from Midland Realty, a real estate company based in Hong Kong, as of August 21, transactions for retail properties fell 46.7 percent from the month-earlier level to HK$1.29 billion ($164.4 million). 

Activity in other types of real estate has also been hit. According to Centaline Property Agency, housing transactions are down 11.1 percent so far this month compared with July, reaching only HK$48 billion. 

Since the beginning of this month, transactions for secondhand homes in Hong Kong stood at HK$15.28 billion, down 12.8 percent month-on-month, local media mingpao.com reported on Monday. Areas where black-clad protesters illegally assembled and attacked including Tsuen Wan, Wong Tai Sin and Kwai Chung have been affected more, according to local residents. 

The attacks are dampening investors' confidence in the real estate market because they are posing uncertainties to Hong Kong's business environment in general, Liang Haiming, an economist at Hainan University, told the Global Times on Tuesday. 

"For example, the escalating violence on the streets has been putting tourists off from Hong Kong," Liang said. "Many of the commercial buildings are rented by retailers or people in the services sector, who are heavily affected by the drop in tourist numbers."

Shirley, an agent working in Hung Hom, told the Global Times that the social turbulence weighs on the housing market in Hong Kong, with some potential buyers hesitating because the unrest has continued.

"Sales have not been good recently... If the social conflict continues, home prices will significantly slump," she said.

Average prices in the city's three major districts - Hong Kong Island, Kowloon and the New Territories - all slumped in July, according to Midland Realty. The home price index of the whole city dropped 1.22 percent month-on-month, the website showed. 

The Global Times reporters saw some property outlets in Sheung Wan, on Hong Kong Island, had cut prices but few customers were showing up on Tuesday afternoon.  

In addition to the unrest, the ongoing US-China trade war has affected the Hong Kong economy, and now the housing market is feeling the impact. 

The property market is a core sector in Hong Kong. According to the city's Census and Statistics Department, total receipts from real estate activity in Hong Kong amounted to HK$202 billion in 2017, creating more than 112,000 jobs in the city. 

According to a report by wallstreetcn.com in March, the real estate sector contributes about 5 percent of GDP in Hong Kong, and the contribution of related investment and consumption can be as high as 30 percent.