Hongkongers come out in droves to buy property even as developers steadily raise prices amid improving confidence

Hong Kong homebuyers snapped up dozens of new flats on Sunday, in a bumper weekend of home sales amid easing fears over a fourth wave of the coronavirus outbreak and resilient demand from first-time homebuyers.

Hong Kong Ferry Holdings and Empire Group had sold 85, or nearly 70 per cent, of the 123 flats on offer in the second phase of Starfront Royale in Tuen Mun as of 8pm, agents said. More than 3,600 people registered for a lottery to buy the flats, translating into 29 buyers vying for each available unit.

“Buyers’ purchasing power has been unleashed since the coronavirus outbreak has been largely brought under control,” said Sammy Po Siu-ming, chief executive of Midland Realty’s residential division. “The overall low-interest-rate environment has also contributed to an abundance of cash in the market.”

The interest in the latest batch of flats was much higher than the first round of 248 units sold a week ago, even after the developer raised the average price by 3.1 per cent to HK$15,384 (US$1,984) per square foot from HK$14,928 for the previous batch. Last week’s sale attracted about 4,000 registrations of intent, or 16 buyers for one unit.

More than half of the flats in Sunday’s sale were one-bedroom units, with the rest ranging from studios to two- to four-bedroom flats. Prices ranged from HK$3 million to HK$14 million for each unit.