Hong Kong property deals pick up ahead of government budget as buyers anticipate further relaxation of curbs
- Deal volumes in 35 major housing estates rose 72.4 per cent week-on-week to 50 transactions, according to property brokerage Midland Realty
- Transaction volumes were driven by activity in Kowloon and Hong Kong Island, which recorded increases of over 1.5 times and 1.3 times, respectively
Secondary market transactions in Hong Kong flats jumped last week, as buyers took advantage of seven-year low prices, amid expectations the government may unveil a possible further relaxation of property cooling measures at Wednesday’s government budget.
Deal volumes in 35 major housing estates rose 72.4 per cent week-on-week to 50 transactions, according to property brokerage Midland Realty. It was a five-week high, fuelled by transactions in Kowloon and Hong Kong Island, which recorded increases of over 1.5 times and 1.3 times, respectively, according to Buggle Lau Ka-fai, Midland’s chief strategist.
“Potential buyers who find prices of their preferred units reasonable are acting quickly as bargain offers may be withdrawn by the sellers after the budget is announced,” Lau said.
Demands from the industry have included scrapping the curbs, such as a special stamp duty applied to a residential property resold within 24 months, a buyers’ stamp duty for non-permanent residents and a double stamp duty on flats for second-time purchasers.
A 2,178 sq ft detached house at the Vineyard in Yuen Long was sold at HK$19 million (US$2.4 million), according to Jimmy Liu, a Midland luxury property agent in New Territories.
Liu said the buyer is a local resident who began his search in the northern metropolitan area half a year ago.
