Hong Kong’s homebuyers brave storm signal at city’s first post-rate cut property sales
New World Development and CK Asset Holdings sold 120 apartments, or 66 per cent of the 190 flats on offer at two locations in Hong Kong
CK Asset, one of the flagship companies of the tycoon Li Ka-shing, found five buyers for the last 70 units of Blue Coast II in Wong Chuk Hang, priced between HK$10.2 million and HK$20.2 million, or HK$22,684 per sq ft on average after discounts. Thirty-two of the units were on sale by tender.
Property agents pointed to the rate cut as the start of a downwards cycle for lending costs, adding that government measures after Chief Executive John Lee Ka-chiu’s policy address on Wednesday would stabilise the property market.
“[The] two additional rate reductions anticipated in the coming months signal the onset of a downwards interest rate cycle, thereby incentivising more buyers to position themselves in the market,” said Derek Chan, head of research at Ricacorp Properties.