Small units of public housing with the sq.ft price of HKD $12,000,property bust with have a number of strange situation
Hong Kong's Wen Wei Po (Reporter Ngan Lun Lok)The units which involved in small amount of price with a new high transaction sq.ft price,there are a unit located in ShaTin which with two hundred feet with the price per sq.ft of HKD $16,000, people not react occasion recently Fung Tak estate with one hundred and fifty feet mini housing,the price per square foot actually break through HKD $12,000, prices bounced up fast speed beyond imagination. Some scholars say so, the Government is committed to increasing the supply of small and medium sized units, as well as the US and Canada on the occasion of the interest rate cycle approach, the current market is like "pick poker." Newspaper detailed information search, discovery of last year the government has introduced at least 20 lands which can be built small units and the site offers 12,700 units,accounting for over 60% of annual supply, market doubts about the ability to digest, homebuyers into the market really need to “consider carefully”.
Units which involved in small amount of price rose madness last month, more than the premium public housing flats were welcomed by the buyers,this situation have spreaded to the whole city,which cause people worrying about
It was the last before bust. Reporters have gone to Tuen Mun to take a trip, found out that the units which put up for sale rapid decline,econd-hand owners offer more as "seasonal price", the spot rate of increase close to 10%, even if not flat inspection lease plate, due to the asking price relatively "empty house" is flat, there was also eligible for home-use buyers, "buy property without inspection,"waited for lease completed and for their own homes, or even frequent appeared a number of buyers grab for a unit phenomenon, and high-level, high-quality landscape units were hard to find.
The buyers can’t wait to buy the units with lease
City University Faculty of Science and Technology senior lecturer Poon Wing Chung directed the interview with this visit, the market now as "pick poker" more worried about will be similar to the situation of the property market in 1997,young people exhausted their savings to buy property, and even the parents of retirement Kim, "coffin cash" has put into it. He believes that if it is really there needs to be owner-occupied home at this stage, but also must depend on their ability to measure market risk, make sure you can"afford", even if in the future fall in property prices, property becomes negative equity, there are still financial resources to mortgage.
Poon Wing Chung anticipated,this trend of grabbing properties likely to continue for some time,the prices have a chance to rise again 5%, mainly due to a large user demand. He said: "Whenever a good economic environment, the general public will want to buy their own homes or branch (family) out to buy multiple units." But he must pay attention to remind increase housing supply in the second half, a new "address" also mentioned the next five years the average private buildings completed about 14,600 units annually, totaling 73,000 units built into the market, will put pressure on rents, property prices will be affected and compression.
The developers increased additional units involved in small amount of price actively
In fact, if readers have pay attention on the real estate news, developers often difficult to watch last year hanging in the mouth of the sentence: "There is dominated by the home market, the main project will be built small units." Even in the last year, the official agency of the URA Kwun Tong Town Centre redevelopment tender, but also because the project failed to build small units and "failed the bids." When the government established by Maiguan to "limit" (Government of adding at least the number of units to be built in the land in terms of land) conditions, in fact, is already a "superfluous" because developers last number of units proposed, are beyond the limits of require many.
As the developers which have announced to be built small units recently,Wang Oon Group was the most aggressive,the group last year bought a total of three limited lands, requires a minimum of 670 original units, but eventually plans to build 1,250 units in final, to build more than the original request about 87%. Statistics last year, including the MTR, the URA, etc., the government launched a total of at least 20 lands which can be built small units, providing 12,700 units,accounted for more than 60% of the total annual supply,which has not yet calculate the gradual increase in public housing supply, and ultimately the market's ability to absorb doubtful.
Scholars expected that the property prices will fall 5% next year
Poon Wing Chung expected that the property market in the second half of the year is bound to slow doen. But he pointed out that even if the United States to raise interest rates in the second half of this year,but to observe the effect, not much is expected to increase, it is speculated that the trend will be stabilized in the second half, the annual material prices rose 5 percent. But in 2016 into the rate hike cycle, he is relatively bearish forecast property market next year will be "prodding" prices turn down 5-10%.
