HKD6 million is lost in the resale of Villa in Valais; More than HKD3.1 million is lost during the first resale of house in yoo Residence.
(by Li Zitian)
Negative news of the trade war springs up, and the cases of lost or large price cut increase. The Valais in Sheung Shui which had recorded many cases of a loss-making latest recorded a single number villa in Cano avenue was sold at HKD37.3 million, the original owner of which actually lose over HKD6 million if calculating the stamp duty and commission. In addition, housing estate in Hong Kong Island, which had always been regarded as the first choice for keeping value, also has loss-making transaction. A low-rise house of the single building project yoo Residence in Causeway Bay was latest sold at HKD9.12 million, a loss of about HKD2.58 million from the purchase price of HKD11.7 million in 2013 from the developer, and the actual loss is estimated to be over HKD3 million including the tax and commission fees.
The Valais in Sheung Shui which had recorded many cases of loss-making latest recorded loss-making transaction again. According to market sources, Cano avenue single number villa in phase 2 of the project, which is three-bedroom layout in 2,425 sq ft joining a garden of about 1,337 sq ft, was just sold at HKD37.3 million with the sq ft price of HKD15,381, owner of which lose about HKD6.46 million after holding it for 9 years.
The house in Valais is transferred as company equity.
It is known, the house has just been traded in company equity transfer model, involving about HKD37.3 million. According to the data, the original owner bought it at about HKD41.62 million in 2010, and the book loss is about HKD4.32 million while the actual loss is estimated to be about HKD6.46 million including the stamp duty(HKD1.77 million) and miscellaneous expenses such as agent commission.
Low-rise house in Yoo depreciates by 22% in six years.
According to the Land Registry, low-rise house of the single building project yoo Residence in Causeway Bay was sold by HKD9.12 million, a loss of above HKD3 million including miscellaneous expenses. It is low-rise room F in area of 410 sq ft, which was sold at HKD9.12 million with the sq ft price at HKD22,000. The original owner purchased it in 2013 with a total of HKD11.7 million. The book loss was about HKD2.58 million. If calculated together with the stamp duty and agency commission, it is estimated that the actual loss is over HKD3.1 million.
The North Point District, which has recently performed poorly, continues recording transactions with price cut in recent days. The co-director of Century 21 Sunrise Property, Cai Jiajun expresses, middle floor room C in Ko Fung Court of Harbour Heights in North Point, which is two-bedroom house in 612 sq ft facing open view, had been put on sale for about 1 month at the original price of HKD12.8 million, and finally was sold at HKD12.28 million with the sq ft price of HKD20,065 after price cut of HKD0.52 million or 4.1%. The original owner purchased the above house in September 2009 for HKD5 million yuan, and the book profit is HKD7.28 million after holding it for over 9 years, an appreciation of about 1.5 times.
The price in Noble Place in Tuen Mun fell by HKD0.5 million in one week.
The second-hand housing estates in the New Territories are also inferior. Tang Jun from Centaline Property expresses, some buyers are turning to wait and see because the shortage of the second hand property houses available for sales and the uncertainty of the trade war, slowing down the pace of trading in the property market, while the attitude of owners is commonly still tough, so the property prices are stable. Tang jun expresses, high-rise room C in block 1 of Noble Place in Tuen Mun, which is two-bedroom house in usable area of 508 sq ft, was put on sale at HKD6.5 million in the middle of this month, and was sold at HKD6 million with the sq ft price of HKD11,811 only after one week, with price cut of HKD0.5 million or 7.7%.
It is known, the buyer is a tenant in the same district, who’s target was to purchase a house under HKD6 million that up to standard for 80% of mortgage, but immediately bought the above house seeing the price matches to the budget after the price reduction. The original owner bought it at HKD3.23 million in September 2013, earning book profit of HKD2.77 million or 86%.
