Hong Kong Wen Wei Po (by Li Zitian)
As the violent conflict in Hong Kong continues, traffic in various districts has been severely hampered, and property market trading plus with market confidence have been affected at the same time, leading a number of transactions at new low prices appeared in New Territories district. There was two-bedroom owner of GRAND YOHO, Yuen Long selling the unit at HKD7.75 million which is the new low for two-bedroom unit in this project this year, after holding it for three years. In Tierra Verde,Tsing Yi, one two-bedroom unit was sold at HKD9.1 million after price reduction of nearly 10%, and the price has dropped 7% from that in three months ago.
The owner's bidding attitude is generally softened due to recent unstable local political situation. Wong Kan-hok from Centaline Property expresses, middle-rise room A in block 1 of GRAND YOHO phase 1, Yuen Long, which is two-bedroom unit in 498 sq ft, was cut to HKD7.75 million and sold recently, with the sq ft price at HKD15,562, the new low among two-bedroom units in this project this year. The original owner bought it at about HKD6.44 million in September 2016, and immediately sold it after holding just enough for three years, earning book profit of HKD1.31 million or 20%.
Low-rise unit in Goodview Garden is accumulatively reduced by 9.6%.
In terms of the nearby district, Lam Ying-kit from Many Wells expresses, low-rise two-bedroom room 2 with the area in 346 sq ft in block 3 of Goodview Garden was sold to one newly-married couple from the same district a few days ago. The original owner increased price cut range and had decreased up to HKD0.48 million or 9.6% since the release, and the buyer decided to buy it immediately for own use at HKD4.5 million, with the sq ft price at HKD13,006, which was the market price. The original owner bought in at about HKD2.3 million in 2013, and the book profit was nearly double at HKD2.2 million.
Two-bedroom unit in Tierra Verde decreased 7% on price in three months.
The properties along the railway was also affected. Pang Kam-tim from Ricacorp Properties expresses, middle-rise room F in block 1 of Tierra Verde, Tsing Yi, a two-bedroom unit in 523 sq ft, was recorded being sold with price cut, and the original owner had asked for HKD10 million in May but finally cut by HKD0.9 million or 9% to HKD9.1 million and sold recently seeing the political event has become more and more fierce. The original owner bought it in June 2014 for about HKD5.9 million, with the property appreciation in 54%. According to the data, the former similar unit, which is high-rise room F in block 2 with area also in 523 sq ft, was sold at HKD9.74 million in June, that is, the above-mentioned transaction prices of similar properties had fallen about 7% within three months.
Woo Kam-yam from Ricacorp Properties expresses, a newly recorded transaction was for middle-rise room B in Metro Town, Tsueng Kwan, and it is a three-bedroom unit including a storage room in 678 sq ft facing sea view. It was put on sale at HKD11.2 million in September, and cut by HKD1.02 million or about 9% after negotiation, finally it was sold at HKD10.18 million in vacant condition, with the sq ft price at about HKD15,015 Woo Kam-yam also points out that, this project had recorded 2 cases of second-hand property transaction this month, with the average sq ft price at HKD14,741, and currently about 189 units are on sale, besides the lowest cost is HKD7.8 million.
Rent was cut by 18% to the sq ft rent at HKD42 in Grand Promenade.
On the lease side, Hong Kong Island famous housing estate was recorded to have a significant reduction in rent. Lam Man FROM Ricacorp Properties expresses, Grand Promenade, Sai Wan Ho recorded case of lease for low-rise room H which is a two-bedroom unit of 490 sq ft in block 2. The lease was released in mid-June. The original owner asked for HKD25,000 yuan, while cut by HKD4,500 or 18% after the bargaining to HKD20,500 and rent out, with the sq ft rent at about HKD42. The original owner purchased the unit for HKD9.5 million in April and the current return rate is 2.6 percent. Lam Man added that the above is the first rental transaction in Grand Promenade this month, and the current lowest rent for one-bedroom of this project is HKD17,800.