Hong Kong property sellers roll out perks and promotions, but a bathtub video gets one agency into slightly hot water
- Developers and agencies offer perks including Japan travel, water park memberships, festive craft activities and dining vouchers to drum up sales
- Ricacorp removes a promotional video that featured a female agent in a bath towel showing off a large tub
Some Hong Kong property companies are pulling out the stops to secure sales in a downbeat market amid falling home prices, offering a range of perks and – in the case of one agent – appearing in a bath towel in a video to entice potential buyers.
In addition to lower prices, developers and agencies have recently offered perks including subsidies for travel to Japan, water park memberships, hot-water dispensers, festive celebrations and dining vouchers to drum up sales.
“There will be more discounts for promoting sales in the primary market in the short term,” said Buggle Lau, chief analyst at Midland Realty, adding that the market will also see more alternative promotional tactics, like videos and gifts.
Prices of second-hand homes have fallen in Hong Kong as a resurgent Covid-19 outbreak – and the quarantine rules to contain it – have driven the city into a technical recession.
The Centa-City Leading Index (CCL), a gauge of lived-in home prices compiled by Centaline Property Agency, fell 0.8 per cent to 173.22 for the week that ended August 28, the lowest since March 2019. The index may fall a further 1.9 per cent before the Mid-Autumn Festival on September 10, according to Centaline.
Hong Kong had 41,684 property agents active in August, a four-month high, but only 5,238 property deals were completed, according to data from the Estate Agents Authority and Land Registry. That equates to a ratio of eight agents per deal.