Government's new measures make property market develop to a doubtful situation. Some owners choose to "stay away from trouble". They cut the price and sold the units to take cash in as soon as possible. This made deals at price cut appeared a lot in the market and it happened both to old and new types of projects in North Point district. Some medium and small houses which were types of being snapped up in other districts earlier also sold at price cut. Most owners still earned profit even though they cut the price.
One unit in Tanner Garden was reduced 6% of the price but the original owner still earned HKD1.32 million
Century 21Sunrise Property Agency Huang Wen-long said, after government launched the measures to suppress the property market, some owners in North Point district reduced the price and sold their houses seeing the market slow down. The owner of one high floor unit in building 5 of Tanner Garden of which cover area is 663 sq ft insisted on sale price at HKD 7 million before. But seeing the light trading after government launched the measures, the owner decided to reduce 6% of the price to HKD6.6 million and the sq ft price was HKD9,955. The unit was successful sold at last and the price of it was lower 5% compare to same type units. The original owner bought the unit in February 2010 and still earned book profit HKD1.32 million after the price cut.
Lime Habitat in North Point district which is newer also has units sale at price cut. Centaline Property Lin Long-nan expressed, the original owner of room D in high floor of Lime Habitat of which cover area is 533 sq ft reduced the price from HKD6.5 million to HKD6.18 million and sold it after government launched the measures. The sq ft price was about HKD11,595 and the price lowered down about 5%. Original owner bought the unit in June 2009 and earned HKD 1,633,000 from the resale.
Price cut deals also happened to Home Ownership. Century 21 Goodwin Xu Qiu-wei said, original owner of room 6, high floor, building B of Kam On Court in Ma On Shan of which the cover area is 709 sq ft reduced HKD 300 thousand from original price HKD 3.5 million to HKD 3.2 million and sold in free market seeing government launched the measures. The average sq ft price was HKD4,513 and was lower 5% than similar type units. It’s known that the original owner earned book profit about HKD 1,884,000 from this resale.
Many buyers hope can take advantage of this government's measures and pick up bargains. Some units immediately sold as soon as being put on sale. Midland Realty Zhou Zhi-qiang said, room G, high floor, building 1 of Noble Hill in Sheung Shui of which the cover area is 633 sq ft was just sold at HKD3.7 million at sq ft price HKD5,845. The buyer saw the unit after government luanched the measures and readily bought it for own use seeing the original owner would like to reduce about 5% of the price. The original owner earned book profit about HKD1,438,700 from this resale.
708 sq ft unit in phase 6 of Kingswood Villas lost HKD346,000
Selling the units at price cut were not the worst. Bad bargain was the one make owner hurt. Fortunately that it just only a few and major happened in gathering place of speculator. Many Wells Property Wu Wei-zhong expressed, number of deals decreases after government launched the measures. Phase 6 of Kingswood Villas in Tin Shui Wai had one bad bargain days before. The unit locate in room H, low floor, building 6 of Maywood of which the cover area is 708 sq ft and sold at HKD2.98 million in one-off payment with average sq ft price at HKD4,209. The buyer is retire person from other district and bought the unit for own use. But the original owner was owner of "hold up unit" in 1997 and lost book profit HKD 346,000 which is 10% from this resale.
