THE decision by some developers to cut prices on new apartments has failed to draw a strong response from buyers, signalling a slowdown in demand on the home-sales market, say property analysts.
The slowdown had been reflected at some property developments, including New World Development's Crestmont Villa in Discovery Bay and Sun Hung Kai's Pristine Villa in Sha Tin, the analysts said.
New World Development has offered 60 apartments in Crestmont Villa at an average price of $4,000 per square foot, down 15 per cent from the last sale.
Although no official figures were released, property agents estimated that only a small number of flats were sold on the first day of sale.
The disappointing result was repeated at Sun Hung Kai Properties' Pristine Villa, where 48 flats were offered for public sale at $5,000 per sq ft, a 10 per cent drop from the previous sale.
Property agents said the first-day results were not encouraging because of the increasing supply from other developments, which absorbed some accumulated demand by offering below-market prices, and the less-attractive view from the apartments.
However, they said it was not the right time to test the market and expected better results during the upcoming Easter holiday period.