Home sales spike over long weekend

Cheung Kong's City Point fuelled interest that spread to buyers in the secondary home market

PUBLISHED : Tuesday, 03 June, 2014, 1:31am
UPDATED : Tuesday, 03 June, 2014, 1:49am

Hong Kong home sales rose sharply over the Dragon Boat Festival long weekend, fuelled by interest in Cheung Kong's City Point project in Tsuen Wan.

According to property agents, a total of 658 new flats were sold in Hong Kong between Saturday and yesterday.

Excluding the 591 flats at City Point sold on Saturday, 67 new flats were sold during the three-day holiday - 179 per cent more than the 24 deals recorded the previous weekend.

New World Development's Park Signature in Yuen Long was another popular new project. It saw 27 flats sold over the long weekend, after 45 were sold on Friday.

However, Kowloon Development's Macpherson Place in Mong Kok did not record any transactions after the 46 flats sold on Friday, when it was launched.

"The asking price of City Point is reasonable. It attracted end-users and many upgraders to buy flats," said Willy Liu Wai-keung, chief executive of real estate agency Ricacorp Properties. "Some home-seekers who failed to buy the flats at City Point last Saturday have turned to the secondary market. The strong sales of the project also encouraged other home-seekers to buy flats."

About 23 second-hand flats at the 10 major mass housing estates changed hands on Saturday and Sunday, according to Hong Kong Property Services. That was 76.9 per cent more than the 13 deals recorded the previous weekend.

"The government's amending of the terms of double stamp duty last month has helped encourage up-graders to buy flats," said Jeffrey Ng, a senior executive director at Hong Kong Property Services. "The strong sales at City Point also gave home-seekers confidence to buy flats. It boosted property sales."

City One Shatin in Sha Tin recorded six deals on the weekend to be the most active among the established estates.

"The strong sales of new projects is good news for the property market," said Midland Realty chief executive Sammy Po Siu-ming. "Home-seekers have turned active in the market and speeded up their buying plans.

"Flat-owners are not willing to cut the asking price as much as before. But it hasn't dampened the buying interest if the asking price is reasonable or the flat is in good condition. Market sentiment will continue to improve."