Tsuen Wan Flat Sold at a Loss for HK$8.2 Million

With the secondary property market still sluggish, a two-bedroom unit at The Pavilia Bay in Tsuen Wan was recently sold for HK$8.2 million, marking a HK$1.2 million loss for the owner after holding the property for four years. The new buyer, a newlywed, decided to return to the secondary market after failing to secure a new unit and purchased the unit after a viewing.

The transaction involved a high-floor unit (Unit D) in Block 1B of The Pavilia Bay, with a saleable area of 488 square feet and two bedrooms. The original owner had purchased the unit as an investment property to generate rental income. The lease ended in July this year, and the owner had initially listed the unit for sale last year at HK$9.4 million.

Though the overall property market had shown some signs of improvement recently, the market response to this unit was lukewarm. After reducing the price by HK$400,000 to HK$9 million, the owner attracted the attention of a first-time homebuyer.

Since the owner was based overseas and had little time to manage the sale, they were willing to offer more room for negotiation. Ultimately, the price was further reduced by HK$800,000, and the unit was sold for HK$8.2 million, with a price per square foot of HK$16,803. The new buyer, a newlywed, had initially intended to purchase a new flat but was unsuccessful. They found the Pavilia Bay unit well-maintained and reasonably priced, leading them to buy it for personal use.

The original owner had purchased the unit in July 2020 for HK$9.4 million. After holding the property for four years, they sold it at a loss of HK$1.2 million, with the unit’s value depreciating by approximately 13% during that time.

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