Sales of homes in Hong Kong's secondary market rose for a second week as pent-up demand from genuine buyers triggered a big rebound in transactions, property agents say.
The number of sales in the 50 largest private housing estates monitored by Ricacorp Properties rose to 185 in the week of October 17 to 23, up 32 per cent from the previous week. That compared with 140 sales in the previous week, and 120 in the week of October 2 to 8.
'The cloud that was hanging over the property market was removed after it became evident that the housing policy outlined in Chief Executive Donald Tsang Yam-kuen's policy speech would have no adverse impact on the private sector,' Ricacorp director David Chan said. 'Buyers were also encouraged by the fact that there was no further deterioration in world stock markets, and so end-users have returned to the market.
'This is only the beginning and the increase in sales should be sustainable for the next two to three weeks,' he said.
Ricacorp recorded rising sales at housing estates on Hong Kong Island as well as in Kowloon and the New Territories last week. Sales in the New Territories registered the biggest growth, with 95 deals completed, up 56 per cent from the previous week.
'The surge in transactions arose mainly because owners allowed more room for negotiation and so deals could be closed faster,' an agent said. A total of 23 deals were closed on Hong Kong Island, up from 19 the previous week.