Despite a slow property market, expectations of better transport links and a discount to urban property prices are fuelling buyer interest in the massive Kingswood Villas development in Tin Shui Wai in the New Territories, according to property agents.
Ricacorp Properties' Kingswood Villas branch manager Nelson Chan Tak-man said the firm had recorded 45 sales deals so far this month, compared with only 30 at the same time last month.
Midland Realty's local branch manager Eric Tso Tak-ming said the 15 per cent fall in prices from record levels in May to the $4,300 per square foot range meant increasing genuine end-user purchasers and healthy support for present prices.
Mr Chan said there were about 1,200 units for sale but only 50 to 60 units out for rental due to low yields.
Rentals are in the $11 per sq ft region or about $6,350 for a $2.5 million, 578 sq ft flat.
Property agents said vacancy rates at Kingswood Villas had been as high as 60 per cent in mid-1996. Many purchasers were long-term investors who could afford to leave the flat empty and use it as a weekend getaway.
