The COVID-19 epidemic has had a significant impact on the property market. New World Development (0017) increases agents' commission for the sales of its ATRIUM HOUSE in Yuen Long, pushing up the transactions. About 11 transactions were recorded on the weekend (February 15-16). Market source indicates that ATRIUM HOUSE has sold 11 units, of which room A9 in usable area of 330 sq ft on the 19th floor was HKD5.607 million, with the sq ft price at HKD16,991. Recently, the developer has increased the agency commission to help with the sale of inventory. In addition to the basic commission of 6%, exclusive bonuses ranging from 220,000 to 290,000 yuan are added depending on the unit type, which is equivalent to a price reduction.
The trading of ten leading housing estates rebounds. Transactions through Hong Kong Property doubled.
Besides, the trading volume in ten leading housing estates began to rebound over the weekend, and many real estate agents recorded double-digit increases. Hong Kong Island, Kowloon, and the New Territories have recorded 11 transactions in the top ten second-hand indicated blue-chip housing estates during the two days of the weekend, according to statistics from the branches of Hong Kong Property Services as of 3 pm yesterday. It increased by 6 cases compared with 5 transactions the previous weekend, an increase of more than doubled to a new 5-week high.
The Chief Executive Officer of Hong Kong Property Services, Lee Chi-Shing expresses, the expanding of COVID-19 epidemic and the global economy fluctuation have affected the property market atmosphere in Hong Kong. In order to reduce the risk of infection, many owners and prospective buyers have reduced the house visiting activities, which has led to a general decline in house visiting activities in various districts. However, some owners are willing to cut prices and sell, attracting a lot of buyers who want to get a bargain and actively purchase their favorite units at a low cost, which has led to a rebound in second-hand property transaction volume over the weekend.
Midland: Owners cut the price to attract buyers who want to get a bargain.
Midland Realty branches also disclose that they had recorded the transactions in ten leading housing estates over the last weekend of about 10 cases, an increase of about 25% from 8 cases in the previous weekend. And it is the first time to back to a double-digit level from 4 weekends ago from January 25 to 26. As for the statistics in the top fifteen housing estates, the transactions on the weekend were about 11 cases, up about 22.2% weekly.
The Chief Executive of the Midland Real Estate Residential Department, Po Siuming expresses, the wait and see the atmosphere is active in the market due to the expanding epidemic and the unclear economic outlook. Some owners are pessimistic about the market trend and cut prices to attract customers. Some price decreases for big-scale houses are relatively significant. The above factors stimulate the increase of inquiries for the second-hand property and home visiting activities. Many customers in rigid need seize the opportunity to find a bargain in the second-hand property market. The second-hand property transactions with a price-cut increase in succession. He believes that the housing demand in Hong Kong is still high, and the property market is unlikely to plummet supported by factors such as the low-interest-rate environment. He believes that property prices are expected to be stable after suppression in the short term, as the epidemic is gradually controlled in the future.
Centaline: There are still four housing estates that have zero transactions.
Centaline Property has recorded the transactions in ten leading housing estates over the weekend of 8 cases, 1 case or 14.3% more than that in the previous weekend. However, there are still four housing estates that have zero transactions.
