Secondary Market Transactions Drop 25% as New Launches Siphon Buyer Interest
AM730 · 2 SOURCESabout 5 hours ago2 MIN
Summary
Hong Kong's 10 major housing estates recorded only 6 transactions this weekend, marking a 25% decline from 8 deals the previous weekend, as newly launched primary market projects continued to dominate buyer attention. Centaline Property agents reported that two brand-new developments completed their first-round sales in recent days, successfully capturing a significant portion of available purchasing power in the market. While the secondary market faces continued pressure, industry observers note that positive economic signals are emerging, suggesting stable market development ahead.
Key Points
- The 10 major housing estates tracked by Centaline Property recorded approximately 6 transactions this weekend, representing a decrease of about 2 deals or roughly 25% compared to the previous weekend's 8 transactions
- Two new development projects conducted their first-round sales over the past three days, drawing enthusiastic buyer response and absorbing substantial market purchasing power
- Hong Kong Island districts showed the weakest performance, with only one transaction recorded across all monitored estates in the region; South Horizons, Cityplaza and Kornhill all registered zero transactions
- A 704 sq ft three-bedroom unit with large balcony at Phase 5 of Mei Foo Sun Chuen sold for HK$8.938 million (HK$12,696 per sq ft), generating a profit of HK$6.108 million for the original owner who purchased the property in 2004 for HK$2.83 million after 22 years of ownership
- A 728 sq ft three-bedroom suite at Block 6 of Tierra Verde changed hands for HK$6.5 million (HK$8,929 per sq ft), yielding a profit of HK$4.54 million for the seller who bought the unit in 2004 for just HK$1.96 million
Why It Matters
The continued dominance of primary market launches is squeezing liquidity in Hong Kong's secondary property market, with established residential estates seeing minimal transaction activity. However, with the U.S. midterm election results settled and economic policies expected to stabilize, market sentiment may gradually shift back to the secondary market as buying power returns .
The continued dominance of primary market launches is squeezing liquidity in Hong Kong's secondary property market, with established residential estates seeing minimal transaction activity. However, with the U.S. midterm election results settled and economic policies expected to stabilize, market sentiment may gradually shift back to the secondary market as buying power returns .