Fixed-rate mortgage plan fails to stir market
The property market is still
struggling to regain its footing amid the coronavirus outbreak, as a property agency
recorded 22 secondary transactions at ten major housing estates over the past
weekend, down by 4.3 percent week-on-week.
This came after Financial Secretary
Paul Chan Mo-po unveiled a fixed-rate mortgage loans pilot scheme in the budget
speech.
But it was the second consecutive
weekend that the number of secondary transactions exceeded 20, according to the
agency.
Some homeowners are willing to cut
asking prices amid economic uncertainties, which has boosted secondary
transactions, another agent said.
An agent from the first agency firm
expects developers to step up launching projects in the primary market this
month.
In Tin Shui Wai, a 549-sq-ft flat at
Kingswood Villas changed hands for HK$5.6 million, or HK$10,200 per sq ft,
after HK$700,000 was cut from the original asking price.
In Tai Koo Shing, a 582-sq-ft flat
at fetched HK$11.88 million, or HK$20,412 per sq ft, after HK$420,000 was
slashed from the initial asking price.
Kennedy Town saw a 464-sq-ft flat at
Cayman Rise sold for HK$10.2 million, or HK$20,819 per sq ft, after HK$540,000
was rubbed off from the first asking price.
And in the Mid-Levels, a
three-bedroom flat at The Grand Panorama changed hands for HK$20.38 million, or
HK$20,967 per sq ft, after HK$1.62 million was cut from the original asking
price.
In the Grade-A office market, another
property agency firm recorded 5 transactions at 50 major Grade-A offices in
February, up by 66 percent month-on-month, as landlords are willing to slash
asking prices amid the escalating coronavirus outbreak.
The agent expects more price cuts in
the future as the coronavirus , which continues to spread across the world,
could be a new black swan for the global economy.
The vacancy rate of Grade-A offices
in Central surged to a five-year high of 4 percent in January, according to an
international property consultancy firm.
The property consultancy firm said
rents of Grade-A offices in Central dropped 1.1 percent month-on-month to
HK$120 per sq ft.
They also said that some companies
are postponing leases over coronavirus concerns.
(The Standard)