(By Huang Cuihua)
New project Domus in Yuen Long and The Beaumount II in Tsueng Kwan were sold out immediately after being put on sale last week, showing residential demand is large. Customers who failed to grab any first hand property turn to second hand property market, driving up second hand property transaction. Transactions from Midland and Ricacorp Properties in the past weekend rose 46% and 21% by week, while Centaline's transaction was in flat line.
Ten large projects from Midland sold 19 units in the past weekend, up 46% by week. Market funds is abundant, and the frozen purchasing power was released after the sale of new projects in Yuen Long, so some potential buyers who urgent to purchase house turn to second hand property market, pushing up the visiting and transactions in last week, the Residential Department Chief Executive Officer of Midland Bu Shaoming expressed. Besides, hot stock market made some investors changing house by arbitrage of stock.
Transactions on weekend rose.
Benefit from the hot of first hand project suitable to first housing people, about 10 transactions occurred in three indexing projects from New Territories which are Tsuen Wan Centre, City One in Sha Tin and Kingswood Villas, up 4 cases by week; Kingswood Villas among is popular with potential customers from the nearby new project in Yuen Long and 5 transactions made, rising about 150% by week. Small-medium new project will lean to attract customers by price, while second hand property may lack of supply and its price will strong, so it is believed first housing people will step by step turn to first hand property market from second hand property market, Bu Shaoming predicted.
Another side, statistics from Ricacorp Properties pointed their transactions from ten large projects rose 21% to 17 cases in the past weekend. Large new projects are successively digested by market, so the purchasing power turns to second hand property market, making second hand property transactions rise; Some buyers still wait and see other opportunities, Ricacorp Properties President Liao Weiqiang said.
Sq ft price of flat including terrace in Kingswood Villas up to the latest peak.
Benefiting from new project sale in Yuen Long, 8 transactions made in this district, with 4 from Sha Tin City One and 4 from Kingswood Villas. Kingswood Villas always is popular with first housing people by its low sq ft price. And sq ft price of one flat including terrace in Kingswood Villas Maywood Court had rose above HKD 9,000, transaction of which promoted by Centaline on last weekend. This unit is in usable area of 544 sq ft and sold at HKD 5.06 million, with usable area sq ft price at HKD 9,301, up to the latest peak among same size flat including terrace in the project. The original owner bought the above house at HKD 1.46 million in July 2002 and earned profit of HKD 3.6 million with appreciation of 2.5 times after holding it for 13 years.
Many groups buyers rush to buy houses in Wai Wah Centre.
Sha Tin is hot housing choice for many investors because of its convenient transportation. Days before, Wai Wah Centre in Sha Tin registered its first transaction in this month, and many groups buyers were attracted because the price was HKD 130,000 lower than bank valuation , finally this unit was sold to one investor from same district by HKD 4.5 million, Feng Zeyuan from Centaline expressed. This unit is room A in middle floor of building 2 in usable area of 358 sq ft, average usable area sq ft price of which is HKD 12,570. The original owner bought the above house at HKD 1.82 million in July 2009 and the unit appreciated by 1.47 times after being held for about 6 years.
Centaline Property registered 16 transactions from ten large projects in the past weekend, flat by week. First hand property market continues hot, and second hand property market also is warming up, plus with Chinese quantitative easing policy and no US rate increases strengthen buyers' confidence, so it is believed investors will get into the market successively and second hand medium cost property will be popular, also luxury property market will chase backward, the Asian Pacific Region Residential Department President of Centaline Property Chen Yongjie expressed.
