Hong Kong actor Nicholas Tse’s former home sells for US$1.8 million loss, casts shadow on city’s luxury housing market
- House in The Redhill Peninsula sells for ‘shocking price’ of HK$60 million
- The national security law and social unrest have cooled the market, agent says
The former home of actor and singer Nicholas Tse in Hong Kong’s Southern district recently sold for a loss of up to HK$14 million (US$1.8 million), casting a shadow over the city’s luxury housing market.
The 2,583 sq ft house in The Redhill Peninsula was this week sold for HK$60 million, or HK$23,229 per square foot, according to agents. Its former owners bought the house for HK$70 million in 2012, according to Land Registry documents. When expenses such as stamp duties and commission are included, their loss on the property amounts to about HK$14 million, the biggest loss reported during a property transaction since the introduction of the national security law.
The selling price is also 11.8 per cent lower than the asking price of HK$68 million, according to the agents. It is also 25 per cent below the HK$80 million that a neighbouring house with the same area sold for in January 2019.
05:50
What you should know about China's new national security law for Hong Kong
“The price is shocking,” said Louis Ho, principal sales director at Centaline Property Agency. “The house had been on the market for some time. The owners probably did not want to wait – the price cut was large.
“It is more difficult to sell” as the house is relatively far from the city centre, Ho said. “When the national security law was revealed, coupled with social unrest, the market cooled down,” he added.
Ho said the law had divided homeowners, with some looking to move away from Hong Kong and thus reducing their asking prices for property, while others felt more secure and were looking to invest.
“Some homeowners are in a rush because of the national security law. Some homeowners want to emigrate or cash in, and are more aggressive [in offering discounts],” Ho said.