Hong Kong government launched two "strict measures" to suppress the property market requirement on 27th October including Buyers Stamp Duty (BSD) and Special Stamp Duty (SSD). The trade sharply decreased in the first week after two " strict measures" took effect. The property price starts to fall and the successively rising for eight weeks stop. The latest Centa-City Leading Index CCL is 116.17 which decreases 0.54% by week. This index reflects the second hand property price starts to be affected after measures' implementation. It is estimated that the property price will rise and fall around the high level in short term and it will start to adjust in the end of the year at range about 5%-10%. Since "strict measures" affect the investment trades, there are owners enlarge the negotiation space. Deals in price cut appear in succession.
Huang Liang-sheng, the senior associate director of research department of Centaline Holdings pointed out, the luxury house market which popular with investors and foreign buyers is the most affected and it dragged the CCL from the eight weeks' rising. It is estimated that the the property price will rise and fall around the high level in short term. If the trade volume keeps in low level, it is predicted that the property price will start to adjust in the end of the year at range about 5%-10%.
With home users' support, the price of large house rises on the contrary
The latest Centa-City Leading Index for Mass ( CCL Mass) is 114.32 which rises 0.11% by week and it even makes new peak record for continue 9 weeks. The CCL falls but CCL Mass rises reflects the price of large house continue rises under local users' support. Following are the data of four CLL Mass. The data is 113.75 in New Territories East making new highest for three weeks and rises 0.67% by week. It rises 7.89% in total for continue seven weeks. The data is 113.55 in Kowloon District which falls 1.45% by week and the continue rising in four weeks is stop. The data in Hong Kong Island District is 125.34 making new peak for two weeks and rises 0.79% by week. The data in New Territories West District is 96.48 making new peak after 1997 and rises 1.22% by week.
Chen Yong-jie predicted the small cost of properties will be the first to be unfroze
Chen Yong-jie, the Asia Pacific housing department president of Centaline Holdings expressed, it has been a month since "strict measures" launched, the buying intention of the buyers slightly rises and the distance of price expectation between buyers and sellers shortened. It makes property market warmer. It is predicted that trade of medium and small houses and low cost houses will be the first to back to stable. Ten housing projects of Centaline Holdings totally have 905 groups for visiting appointment in the weekend in record. The data rise 2.3% by week.
Price of the unit in 1,168 sq ft of The Waterfront reduced HKD 1.32 million
Under effect of two "strict measures", the trades are major price cut deals recently. There was a owner in The Waterfront of Kowloon reduced HKD 1.32 million in the trade. Liang Wan-wen from Midland expressed, room D, high floor, building 6 of The Waterfront in about 1,168 sq ft and 3 rooms layout sold to a rent collector at HKD 16.18 million including parking place and lease. The original owner decreased about HKD 1.32 million and the decrease range was 7.5%. The sq ft price was about HKD 13,853.
Zhou Shi-kang from Centaline Holdings expressed, room 6, middle floor, building L of Aberdeen Centre in cover area 526 sq ft largely be price cut at HKD 380 thousands and sold at HKD 3.77 million with the sq ft price is HKD 7,167. The original owner insisted the price at HKD 4.15 million before and soften the attitude after the measures launched.
Unit in Southorn Garden of Wan Tsai sold at price cut 5%
Zheng Guo-liang from Midland expressed, room 4, low floor in Southorn Garden of Wan Tsai in cover area about 790 sq ft sold at about HKD 7.2 million and the sq ft price was about HKD 9,114. The original owner called for price about HKD 7.6 million at first and decreased about HKD 400 thousands after the negotiation. The decrease range was about 5%. Huang Xin-an from 18-property expressed, room D, high floor, building 2 in The Sparkle with cover area of 738 sq ft sold at HKD 5.38 million. The buyer quoted back for many times and received price cut HKD 220 thousands. The sq ft price was about HKD 7,290 which was lower 1% than market price.
