Hong Kong’s residential leasing market more active during Lunar New Year holiday
Only a few units sold in primary residential market
The residential leasing market has been more active than sales, with some owners preferring to let their apartment at lower rents instead of leaving them vacant, which is considered an inauspicious sign for the Lunar New Year.
While more than 10 leasing deals have been concluded during the Lunar New Year holiday, only a few units have been sold in the primary residential market.
Many Wealths Property Agent sales manager Lee Kai-cheong said some owners did not want their apartments vacant at the beginning of the Year of the Monkey.
“They are willing to offer more incentives to find tenants,” he said.
A four-bedroom, 722 sq ft unit at Chelsea Court in Tsuen Wan was leased out for HK$20,000 a month, about 13 per cent lower than the market rate, he said.
The unit had been on the market for leasing since September.
In Tin Shui Wai, a 629 sq ft unit at Maywood Court, Kingswood Villas, was leased for HK$9,000 a month over the weekend, Many Wealths said.
“It is the lowest rent for such a unit size in the housing estate,” said Sharon Wong, an agent at Many Wealths.
Sammy Po, chief executive of Midland Realty’s residential department, said the firm had handled more leases than sales.
“We have closed 10 leasing deals as owners are more willing to offer better terms,” he said. “They hope to rent out the units as soon as possible.”
The long weekend also helped boost flat viewing as prospective tenants had more time to look for flats, he said.
“There are only a few units in the primary and secondary markets that have been sold during the holiday,” Po said.
A 360 sq ft unit at Greenfield Garden in Tsing Yi changed hands for HK$3.95 million, about 10 per cent lower than the market level, he said.
In the primary market, Po said one new flat was sold by Henderson Land Development.
A buyer paid HK$4 million for a 275 sq ft unit at Harbour Park in Tai Kok Tsui on Monday, the first day of the Year of the Monkey.
“This buyer chose the unit on the 18th floor. It is an auspicious number meaning ‘easy to make a fortune’,” Po said.
He said the market would become more active after the Lunar New Year holiday.
“Most developers are preparing to launch their new projects after Chinese New Year,” he said. “Sales in the primary market are bound to pick up again.”