Hong Kong Wen Wei Po (By Yan Lunle, Liang Yueqin)
The Sino-US trade negotiations appears uncertainty, leading Hong Kong stocks to fall nearly a thousand points, but there is no obstacle to developers’ project launching. LOHAS Park MONTARA in Tseung Kwan O developed by Wheelock Properties and MTR additional launched the last 116 houses a few days ago, which is confirmed to be put on sale on this Friday, and the application will close on Thursday.
Huang Guangyao: The trade war uncertainty does not affect the project launching.
According to the sales arrangement, the developer allocates the designated 50 houses to group A of big customers, with each customer can buy 2 to 4 units, but each has to buy one three-bedroom flat and can only buy one unit of one-bedroom; the remaining houses are given to group B, and each customer can subscribe for up to 2 units. The discounted prices of these 116 houses are HKD5.89 million to HKD12.33 million. This project had collected over 2,000 applications until last night, an oversubscription of 16 times.
Regarding the uncertainty from the Sino-US trade war, the executive director of Wheelock Properties, Huang Guangyao believed, the fluctuation has a greater impact on the stock market than on the property market, so it will not affect the pace of developer’s property launching, and it is expected that the LOHAS Park phase 7K would be put on sale as soon as July. He expressed, the Sino-US trade war has little effect on the public intend to enter the market, taking MONTARA as an example, most applicants are users and also the first housing people, who buys house for self-occupation, so the impact is not large, and pointed that the Sino-us trade war is external and short-term factors, although which might cause psychological effect but it is believed would achieve positive result, while the property market will be in good trend and the property prices estimated to rise by 5-10%, since the market demand is still strong.
House that forfeiture of initial deposit in The Peak is HKD1.88 million cheaper in resale.
Sino’s MAYFAIR by the sea 8 in Pak Shek Kok, Tai Po updated the price list yesterday, decreasing the stamp duty allowance and discount from 9.5% to 8%, which is price rise in disguised form of 1.5%, and this will be effective this Friday. This project has accumulate sold 354 houses taking in more than HKD3 billion.
More transactions are recorded among the first hand luxury project. MOUNT NICHOLSON phase 1 in The Peak developed by Wharf and Nam Phong sold No.16 villa at HKD720 million, which is in usable area of 7,978 sq ft and the sq ft prices was HKD90,248. This house had been sold at HKD721.882 million on December 31 last year, but became forfeiture of initial deposit after about 11 days later, and it is estimated developer confiscated the deposit of about HKD36.09 million, besides the resale price this time is HKD1.882 million (or 0.3%) lower than that of last year. This time, the developer firstly provides the buyer for a 365-day trading period, and the 80% of the property price will be paid on or before the 365th day after the signing of the temporary sale and purchase agreement.
Upper River Bank in Kai-tak is hoped to be launched in the middle of the year.
On the other hand, the residential project in Kai-tak firstly cooperated developed in Hong Kong by mainland company Longfor Properties and KWG Property was officially named Upper River Bank. The marketing and sales director (Hong Kong and oversea) of KWG Property, Zhang Shiyun expressed yesterday that, Upper River Bank is waiting for the pre-sale approval, which is predicted to be launched in the middle of this year, with prices referring to projects in same district of Kai-tak and properties in Ho Man Tin, and there is no sign of price cut, but they will put on sale coordinate with the payment methods, also there will be "surprise prices" by prediction.
She pointed, Upper River Bank includes two twin buildings and low-rise low density riverside mansions, supplying 667 houses in layouts from one-bedroom to four-bedroom plus feature houses, and the main are two-bedroom and three-bedroom houses accounting over 70% of the whole residential houses, also it is equipped with clubhouse facilities. The key date of the project is expected on November 15, 2021.
When was asked whether the uncertainty in Sino-US trade negotiations would affect the property market in Hong Kong, She believed, the performance of the property market depends on economic factors, such as the United States changed from an earlier interest rate hike to the current discussion on interest rate cut, reflecting that the US economy is not easy to raise interest rates further, further more, in the past, even if the United States raised interest rates, Hong Kong did not follow every time, showing that Hong Kong is still in a low interest rate environment in a medium and long term, which can alleviate the mortgage burden, besides Hong Kong has sold nearly 9,000 of first hand houses since this year, with both the second-hand property prices and the rents are stabilized, reflecting that the market is still full of confidence in the Hong Kong property trend.