(By Yan Lunle, Chen Chuqian)
Hong Kong Stocks turbulence in July affects the real estate transaction, plus with Cheung Sha Wan Heya Crystal is going to be put on sale soon, which locked some purchasing power, so the property market is full of wait and see atmosphere. In the past two days, only 7 transactions occurred among the ten large projects, down 22.2% by week and go to the latest lowest in twelve months, what is more half of the projects had no transaction, according to Centaline Property statistics. Ten large projects' transactions from Midland and Hong Kong Property Services are both down by 11.1% to 40%.
Stock market turbulence in this month and many unclear factors in the market stop many potential buyers, and most of them wait and see, Centaline Property Asian Pacific Region Residential Department President Chen Yongjie believed. Besides, first hand project in Kowloon is going to be launched, price of which will be lower than it of projects in same district, and many second hand property buyers are attracted, making second hand property market get into stalemate.
Owner are strong on price; Unit in Kornhill Gardens was sold at the latest peak price.
Centaline only registered 7 transactions from ten large projects in the past two days, 2 less than number in last week or down by 22.2%, while Quarry Bay Taikoo Shing, South Horizons, Lai Chi Kok Road Mei Foo Sun Chuen,Lam Tin Laguna City, and Sha TinCity One among even had no transaction, also this number is the latest lowest for twelve weekends after 3 transactions made on April 18th and 19th or can say after the stock market crash.
There is still transaction at higher price although transaction down, reflecting owners are strong on price making transaction into see saw situation. High floor unit 09 in block H Kornhill Gardens Quarry Bay in usable area of 994 sq ft was sold at HKD 16.38 million, with sq ft price at about HKD 16,479, up to the peak of this project, market source pointed. In addition, high floor room 3 in block H Siu Hong Court in usable area of 449 sq ft was sold at HKD 3.72 million with sq ft price at HKD 8,285, also up to the peak in the same project, Many Wells Huang Zhenwen expressed.
Another lead agent Midland also just registered about 8 transactions in the past two days, down about 11.1% than 9 on the former weekend, and it has dropped for three weekends, becoming the lowest for 11 weekends. Also five projects among had zero transaction. Hong Kong Property ten large projects had only 2 transaction in the past weekend, fell 40% by week.
Focus to first hand project; Potential buyers wait and see.
Although property market is affected by stock market in this month, but owners are powerful, so price keeps rising, leading transaction at peak price appears, Midland Residential Department Chief Executive Officer Bu Shaoming expressed. Currently, potential buyers wait and see, at the mean time down town new project Heya Crystal will get into the market soon, so second hand property market is weak, leading no transaction in more indexing projects and second hand transaction dull.
In short term many new projects come out, price of which close to second hand property price, so it estimated to be market focus, and the situation of first hand hot while second hand in high price but stable supply will maintain for a few time, Hong Kong Property senior executive director Wu Chuangye pointed.
However, the research department of Ricacorp Properties just registered 18 second hand property transactions in the past weekend (July 18th to 19th), slightly up by about 6% than 17 transactions in the former weekend (July 11th and 12th), the real estate president of Ricacorp Properties Liao Weiqiang expressed.
Although stock market crashed, but property market has actual demand, plus with there is no other negative factors currently, also second hand property owners are strong on price, so it is predicted market funds will be absorbed by first hand projects step by step, he pointed. We hope second hand property owners can supply more bargaining space, or there will be more second hand properties released into the market, if not second hand residential property transaction will continue slow, and it is estimated transaction from ten large indexing projects will be much the same in the following weekend.
