Centaline expects sales of flats to hit 120,000
Renewed buying interest and an improved economic outlook is expected to boost total property transactions for the year to 120,000 deals - the highest level recorded since 1997, according to a property agent.
Centaline Property Agency yesterday said transaction volume was likely to be 37 per cent higher than last year's 87,309 deals. The total number of transactions recorded in 1997 was 205,461 and 111,489 in 1998. Transaction volumes have been falling ever since.
In value terms, Centaline Property Agency senior research manager Wong Leung-shing said this year's total consideration for property transactions would rise 85 per cent to $350 billion, compared with $189.4 billion last year.
'This is because of the buoyant performance in the luxury residential sector,' said Mr Wong, who added that transaction prices of some luxury properties such as Branksome Crest had already surpassed 1997 levels.
Last month, Kerry Properties sold a 4,620 sq ft home at Branksome Crest on Tregunther Path for $130 million or $28,139 per sq ft, setting a price record for residential properties.
This month total transactions are expected to reach 13,000, up nearly 20 per cent from last month.
Centaline's optimistic forecast coincided with anecdotal evidence of keen interest in Kwong Sang Hong International's Indi-Home serviced-apartment project in Tsuen Wan, where more than 600 flats were sold over the weekend.
Midland Realty sales director Victor Cheung Kam-shing yesterday attributed the strong response to the small lump-sum payments at which Indi-Home was being marketed. The project has 960 units ranging in size from 430 to 750 sq ft.
'Asking prices for the smaller units are as low as $1.2 million to $1.5 million,' Mr Cheung said.
Agents said more than 40 units have been offered for resale in the past two days at a 10 per cent premium to initial purchase prices.