Kingswood tops Hong Kong’s most actively traded address list of 2019 as owners cut prices ahead of biggest home sales in 10 years
- Kingswood Villas in Tin Shui Wai, one of the largest housing communities in Hong Kong, was the most actively traded address in 2019 for the second consecutive year, with two flats sold every weekday
- Prices have dropped below US$1,284 per square foot to a 10-month low, as owners cut prices before the imminent sale of Sun Hung Kai Properties’ Wetland Seasons Park, the largest property launch in the area in 10 years
As many as 531 homes changed hands at Kingswood Villas as of December 23, about 3.3 per cent of the 15,920 units in the 58 residential blocks there, according to data by Midland Realty. Prices have dropped to a 10-month low of below HK$10,000 (US$1,284) per square foot in some units, where a 550-sq ft flat at the Kenswood Court building sold for HK$5 million on December 20, while a 548-sq ft unit at Locwood Court changed hands at HK$5.5 million, according to Centaline’s sales data.
“Prices are considered [to be] the lowest among major housing estates in Hong Kong,” said Derek Chan, head of research at Ricacorp Properties.
In response, Kingswood Villas’ owners cut their prices by between 1 per cent and 3 per cent, said Victor Ng, Centaline Property Agencies’ sales manager at the Tin Shui Wai district.
“Ninety per cent of our clients have shifted their interest to the soon-to-be launched new project, instead of looking for used flats in the area,” he said. “Sales in the secondary market in Tin Shui Wai will be frozen as [Wetland Seasons] will be the district’s first large-scale new project in the past 10 years built by a major developer. It will attract both end users and investors from Kowloon and Hong Kong Island as well.”
Transactions were active elsewhere in Hong Kong’s secondary market as well. City One Sha Tin recorded 375 deals, moving up to become the second-most transacted housing estate, ahead of the 336 contracts at Mei Foo Sun Chuen in Kowloon in third place.
Fewer buyers emerged at Discovery Bay on Lantau Island – a favourite of many expatriate families – where the number of transactions plunged 22 per cent to 302, dropping to fourth position this year from second place in 2018. Taikoo Shing was in fifth place, with 290 deals done, up 3.8 per cent from last year.
“The market will [become] active again if Wetland Seasons Park generates strong response when it goes on sale next month,” he said. The period after the Lunar New Year celebrations that begin on January 25 “is the residential property industry’s traditional peak season.”
