Hong Kong’s homebuyers defy banks’ jitters in snapping up flats built by little-known developer in fourth straight sell-out weekend
- More than 8,000 people vied for 130 flats at Kwai Hung Group’s Mangrove project in Hung Hom, defying banks that pulled the plug on mortgage loans for the development
- Kerry Properties sold 69 of 135 flats at La Marina in Wong Chuk Hang even after raising the average price by 18 per cent
Hong Kong’s homebuyers continued to pile into the residential property market, snapping up three of four flats on offer in two districts across the city, encouraged by an improving local economy and prospects of easy financing.
Up to 197 of 265 apartments, or 74 per cent, of available new flats on offer at two projects were sold as at 8:00pm, sales agents said.
Kwai Hung Group sold 128 of 130 flats released in the first batch of the Mangrove project in Hung Hom, defying the banks that pulled the plug on mortgage financing amid concerns over the developer’s ability to complete the project. At Wong Chuk Hang in the south of Hong Kong Island, Kerry Properties sold 69 out of 135 flats at La Marina, jointly developed with Sino Land and MTR Corporation.
“The price of most homes at Mangrove are below HK$6 million (US$771,000), so it is particularly alluring to young home seekers looking for their first homes,” said Sammy Po Siu-ming, chief executive of Midland Realty’s residential division, adding that combined sales on Saturday and Sunday are expected to mark the fourth consecutive weekend of sell-out launches. “The sentiment recently is quite good with the Covid-19 getting eased and the city’s economy recovering.”
Hong Kong’s unemployment rate fell last month to its lowest level since the coronavirus pandemic began, with the local economy buoyed by the government’s multibillion-dollar e-voucher scheme.
