The violent incidents dragged down the second-hand property prices lower and lower.
(By Leong Yuet Kam, Lai ChiTin)
The violent shocks in Hong Kong have spread to every districts, and many small property owners sell houses with price cut of over 10% in succession. Among them, an owner in indexing luxury project Victoria Harbour, North Point put on sale his open style unit at a loss days before, and the price had been cut again in less than one week by HKD1.3 million, with the price cut up to 12%, also the price is down under HKD10 million to the latest of HKD9.5 million. However, the owner just has held the flat for only one year, so it is estimated there will be loss of HKD2.7422 million even it would be successfully sold at HKD9.5 million, besides there is situation that the second-hand property price is cheaper than the first-hand property price.
The unit is located in the high-rise room F, Block 5A, Victoria Harbour, North Point, and it is an open style flat in usable area of 286 sq ft. The owner bought it in July last year for HKD10.7592 million, and put on sale it at HKD10.8 million last week. The Co-Director of the Centaline, Chen KaHung points out that the owner latest cut the price to HKD9.5 million, a price cut of HKD1.3 million or 12%. Since the owner has just held it for only one year, there would still be SSD tax of 10% involving HKD0.95 million even it would be successfully sold at HKD9.5 million, so it is estimated there will be loss of HKD2.7422 million, plus with about HKD0.403 million of stamp duty paid in the previous purchasing and other costs.
According to the first-hand transaction record book, the room F on the 11th floor of Block 5A of this project which is on lower floor than the current second-hand on sale unit is up to HKD11.7576 million this month, showing that the second-hand property price is lower to the first-hand property price.
The property price in Chelsea Heights, Tuen Mun decreased by HKD0.98 million in one week.
Tuen Mun, another district being affected, recorded a transaction had been made after price cut of 13% by the owner in one week. Kwong KaChun from Centaline expresses, high rise room G in block 1 of Chelsea Heights in Tuen Mun, which is two-bedroom unit and in usable area of 511 sq ft, had been put on sale at HKD7.5 million and then was reduced by HKD0.98 million to HKD6.52 million and sold after one week, with the price cut range up to 13%.
Property in Harmony Garden was sold with price cut of HKD1.8 million.
There are also cases in which owners reducing large price for sales in Tsuen Wan District. Ching SheungKit from Centaline Property expresses, three-bedroom flat room B on middle floor of block 2 in Harmony Garden, Tsuen Wan in usable area of 634 sq ft had been asked for HKD9.8 million, while the owner largely decreased HKD1 million days before to HKD8.8 million seeing the deterioration of Hong Kong situation and the Sino-US trade war dragging the market sentiment to extremely dull also the second hand property market was further suppressed under the low price promotion from new projects in the same district, then one house changing customer in the same district was attracted and bargained with the owner for another price cut of HKD0.8 million, finally the owner accepted and sold this house at HKD8 million, with the usable area sq ft price at HKD12,618 after accumulative price cut of HKD1.8 million, leading the price cut range to 18%.
Woo HoiTat from Ricacorp Properties points out that, the low-rise room F On Shing Terrace Ko On Mansion, Tai Koo Shing in usable area of about 503 sq ft and in layout of two-bedroom had been cut the price from HKD10 million to HKD9.4 million by the owner these couple days, with a price reduction of HKD0.6 million (a reduction of about 6%), and the sq ft price was about HKD18,688. It is known, the original owner bought it in September 2000 for about HKD2.16 million. The book profit from the resale after holding it for 19 years is about HKD7.24 million, an appreciation of over 3.3 times. Woo HoiTat continued, due to social events and stock volatility, Taikoo Shing has temporarily recorded about 4 transactions so far this month, significantly lower than the traditional peak season in August previously. The average price reduction in transactions this month was only about 8%. At present, there are about 185 houses for sale, with the lowest cost is about HKD7.8 million.
Green form customer grabbed property in Tsz Oi Court by price 10% lower than the market level.
In addition, after the results of the application for the new round of HOS were announced yesterday, there was new HOS applicants rushed to buy one three-bedroom flat in HOS project Tsz Oi Court, Tsz Wan Shan by green form price of HKD5.18 million, 10% lower than market level. Tsang YuenTung from FullMark Property expresses, low-rise room 7 in Oi Chung Mansion, Tsz Oi Court phase 2 in usable area of 554 sq ft and in layout of three-bedroom had been put on sale at HKD5.5 million in the green form market earlier, while the owner cut the price by HKD0.32 million or 5.8% to HKD5.18 million and sold, with the usable area sq ft price at HKD9,350, about 10% lower than the market price.
