Hong Kong Top Housing Estates See 44% Transaction Drop as New Projects Attract Buyers
AM730 · 2 SOURCESabout 3 hours ago2 MIN
Summary
Hong Kong's 10 major housing estates recorded only 5 transactions over the weekend of October 3-4, marking a 44.4% decline from the previous weekend's 9 deals. Seven of the 10 estates reported zero transactions, with new developer projects drawing buyer attention away from the secondary market. Industry analysts expect the market focus to remain on new first-hand properties in October, with bargain-hunters potentially returning to the secondary market by month-end.
Key Points
- The 10 major housing estates tracked by Centaline Property recorded just 5 transactions over the weekend of October 3-4, a sharp 44.4% drop from 9 deals the previous weekend .
- Seven of the 10 monitored estates reported zero transactions, including Kornhill, South Horizons, Mei Foo New Village, Laguna City, Whampoa Garden, Kingswood Villas, and Tung Chung Bayview .
- Kornhill in Quarry Bay was the sole performer in Hong Kong Island with one deal: Unit E, Low Floor, measuring 685 sq ft with three bedrooms including an ensuite, sold for 10.25 million yuan (14,964 yuan per sq ft) .
- The Kornhill unit was purchased by a newlywed couple after two weeks on the market. The original owner bought the flat in 2003 for 2.15 million yuan, earning a paper profit of 8.1 million yuan after 23 years, representing a nearly 3.8-fold appreciation .
- Tseung Kwan O's City One and Sha Tin City One each recorded two transactions, emerging as the most active estates. City One units sold for 6.05 million yuan (363 sq ft, 2-bedroom) and 6.48 million yuan (441 sq ft, 2-bedroom) .
- A City One unit in Block 18, Mid Floor, 504 sq ft with three bedrooms, was sold after price negotiations from 7.2 million yuan down to 6.8 million yuan (13,492 yuan per sq ft) to a non-local end-user. The seller bought in 2009 for 2.88 million yuan, earning a 3.92 million yuan profit after 17 years .
Why It Matters
The significant drop in secondary market transactions highlights the intense competition between new developer launches and the established housing market, as developers offer competitive pricing and diverse property types to attract buyers. This trend could reshape market dynamics in the coming months, potentially affecting property values and investment returns across Hong Kong's residential sector .
The significant drop in secondary market transactions highlights the intense competition between new developer launches and the established housing market, as developers offer competitive pricing and diverse property types to attract buyers. This trend could reshape market dynamics in the coming months, potentially affecting property values and investment returns across Hong Kong's residential sector .