Recently, large properties have been frequently sold at discounted prices. A four-bedroom apartment in YOHO MIDTOWN in Yuen Long was acquired for NT$12.2 million after a price reduction of NT$1.8 million, which is a decrease of about 13%. For the latest transactions in each district, “on.cc East Network” will provide daily updates.
Hong Kong Island
● Chung Yuan Wu Jingzhang reported that Room 15 on the upper floor of Wah Shan Building in Wah Kwai Estate, Aberdeen, Hong Kong, has a usable area of about 443 square feet. The two rooms are separated and offer a sea view. The second market price without premium was NT$3.68 million, and it was finally sold for NT$3.06 million, reflecting a reduction of NT$620,000 or 16.8%. The price per square foot was approximately NT$6,907.
● A two-bedroom apartment on the lower floor of Block 1, Po Tsui Yuen, in the Western District, was sold for $13.7 million after viewing the property. The original owner purchased the unit in July 2007 for about $6.65 million.
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Kowloon District
● Zhongyuan Liao Zhongjian indicated that Room A, a high-rise unit in Tower 5, Lam Tin Hui Jing Garden, has a usable area of about 537 square feet, with two separated rooms and a city view. The initial asking price was NT$6.6 million but was negotiated down to NT$6.18 million, with a price per square foot of about NT$11,508. The new buyer is a family member of the original owner, who purchased it for NT$8 million in March 2018. After holding the property for about 6 years, the book loss was NT$1.82 million, reflecting a depreciation of approximately 23%.
● Zhongyuan Liu Junjie noted that Room B, a low-rise unit in Tower 5, Kowloon Pik Wah Garden, has a usable area of about 1,607 square feet, featuring a four-bedroom suite and a worker’s suite. It was recently sold for NT$20.8 million, with a price per square foot of about NT$12,943. The original owner had bought it for NT$29 million in April 2015, resulting in a book loss of NT$8.2 million after holding the property for about 9 years, which is a depreciation of approximately 28%.
● Century 21 Family World Li Zhenjie stated that Room J, a high-rise unit in Tower 16, Furong Garden, Mong Kok, has a usable area of about 484 square feet with two rooms. The second market price without premium is NT$4.88 million, with a price per square foot of about NT$10,083. The original owner purchased it in April 2001 for NT$1.3545 million, resulting in a book profit of NT$3.5255 million after holding it for about 23 years.
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New Territories
● A four-bedroom suite with a worker’s room in Block 7, E-Floor, YOHO MIDTOWN, has a usable area of about 938 square feet. According to Cao Jin-fai of United Real Estate, it was recently put up for sale for $14 million. After several weeks of viewings and negotiations with the original owner, it was sold for $12.2 million, resulting in a price reduction of $1.8 million, or about 13%, equating to approximately $13,006 per square foot.
● Lee Ka Court Cheng Kai-chong mentioned that Unit A, a high-rise unit in Tower 1B, MALIBU, LOHAS Park, Tseung Kwan O, has a usable area of about 804 square feet and a three-bedroom suite with a storage room. The new buyer is a family from outside the district. The unit was initially listed for 14.8 million yuan in May this year and was sold for 13 million yuan after negotiations, with a price of about 16,169 yuan per square foot. The original owner bought it in 2018 for about 14.737 million yuan, resulting in a book loss of 1.737 million yuan.
● A three-bedroom suite with a storage room, having a real estate area of about 986 square feet, was initially asking for $18.2 million but was sold for $17.28 million without a viewing. Leung Kit of United Real Estate managed the lease at approximately $17,525 per square foot.
● Century 21 Qifeng Li Jiawen indicated that Flat E, a low-rise unit in Tower 2, Marina View Garden, Shatin, has a usable area of about 555 square feet, featuring a three-bedroom suite and a garden view. The original asking price was NT$7 million, and after 4 months on the market, it was reduced by NT$140,000 and sold for NT$6.86 million, equivalent to a price of about NT$12,360 per square foot. The original owner purchased it for NT$7.7 million in June 2022, resulting in a book loss of NT$840,000 over about two years.
● Century 21 Qifengzhuang Zhenyao mentioned that Flat F, a low-rise unit in Block 2 of Fujia Garden, Shatin Home Ownership Scheme Housing Estate, has a usable area of about 589 square feet and three rooms. It has been on the market for 8 months. The free market price was listed at NT$7.6 million, and it was finally sold for NT$6.5 million, reflecting a price reduction of NT$1.1 million or approximately 14.5%, with a price per square foot of about NT$11,036.
● Midland Leung Wai-heng indicated that Flat G, a high-rise unit in Block 2, Tai Po Plaza, Tai Po Home Ownership Scheme Housing Scheme, has a usable area of about 397 square feet. It is originally designed as a two-bedroom apartment but has been converted into a one-bedroom apartment. The free market price was NT$4.1 million two weeks ago, and after negotiations, the property was sold for NT$3.898 million, corresponding to a price per square foot of approximately NT$9,819.
● Cheung Yee Lam Ka-lun reported that there are 8 high-rise units in Block N of Tin Fu Court, Tin Shui Wai Home Ownership Housing Estate, with a usable area of about 506 square feet and two separated rooms. The original owner increased the negotiation margin, reducing the price by a total of NT$220,000. Customers from the green list in the area can buy it in the second market for NT$3.38 million, with a price per square foot of about NT$6,680.
● Cheung Yick Wong Man-lok mentioned that there is a high-rise unit in Block B of Tuen Mun Home Ownership Housing Estate, San Wai Court, with a usable area of about 554 square feet. The new buyer is a green-sheet customer familiar with the area, responding to a price reduction of NT$300,000. The property was purchased in the second market for NT$3.2 million without a premium, with a price per square foot of approximately NT$5,776.
● Zhongyuan Huang Hongchao reported that Room F, a low-rise unit in Tower 10, Tung Chung Ying Wan Garden, has a usable area of about 563 square feet, featuring two separated rooms and a mountain view. The asking price was NT$5.8 million. It was taken over by buyers from other areas for personal use. After negotiations, the price was reduced by NT$42,000, approximately 7%, and was sold for NT$5.38 million, with a price per square foot of about NT$9,556.
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Current Bargain Prices for Large Apartments in Hong Kong
Recently, larger residential units in Hong Kong have been frequently sold at bargain prices. For instance, a four-bedroom apartment in YOHO MIDTOWN in Yuen Long was taken over for NT$12.2 million following a price cut of NT$1.8 million, representing a significant reduction of about 13%. Here, we provide updates on the latest transactions categorized by district, showcasing the current trends and opportunities in the real estate market.
Hong Kong Island
1. Wah Shan Building, Wah Kwai Estate
According to Chung Yuan Wu Jingzhang, Room 15 on the upper floor of Wah Shan Building offers a usable area of approximately 443 square feet with two rooms and a stunning sea view. The property sold for NT$3.06 million, a discount of NT$620,000 (16.8%) from the second market price of NT$3.68 million. The price per square foot stood at about NT$6,907.
2. Po Tsui Yuen, Western District
A two-bedroom apartment in Block 1 was sold for NT$13.7 million after 17 viewings. This unit, with a usable area of about 762 square feet, was previously acquired by the owner for approximately NT$6.65 million back in July 2007.
Kowloon District
1. Lam Tin Hui Jing Garden
Room A in Tower 5 features a usable area of around 537 square feet with two rooms. The initial asking price was NT$6.6 million, which was negotiated down to NT$6.18 million, equating to about NT$11,508 per square foot. The original owner faced a book loss of NT$1.82 million after purchasing it for NT$8 million in March 2018.
2. Kowloon Pik Wah Garden
Room B in Tower 5, comprising 1,607 square feet, was sold for NT$20.8 million. This four-bedroom suite initially commanded a price of NT$29 million in April 2015, resulting in a depreciation of approximately 28% over nine years.
3. Furong Garden, Mong Kok
Room J in Tower 16 has a usable area of about 484 square feet and was sold at NT$4.88 million. The price per square foot reached around NT$10,083. The owner originally purchased the unit for NT$1.3545 million in April 2001, yielding a profit of NT$3.5255 million after roughly 23 years of ownership.
New Territories
1. YOHO MIDTOWN, Block 7
A four-bedroom suite with a worker’s suite, covering around 938 square feet, recently changed hands for NT$12.2 million, down from an asking price of NT$14 million. This price reduction of NT$1.8 million (about 13%) equates to NT$13,006 per square foot.
2. MALIBU, LOHAS Park, Tseung Kwan O
Unit A in Tower 1B features 804 square feet of usable area and was sold for NT$13 million. The original asking price in May was NT$14.8 million, leading to a book loss of NT$1.737 million for the owner, who purchased the unit for NT$14.737 million in 2018.
3. Shatin Marina View Garden
Flat E has a usable area of about 555 square feet and was sold for NT$6.86 million after an initial asking price of NT$7 million. The original owner faced a book loss of NT$840,000 from a purchase price of NT$7.7 million in June 2022.
Market Insights and Practical Tips
As the real estate market in Hong Kong experiences fluctuations, potential buyers and investors should remain vigilant and informed about ongoing trends. Here are some practical tips:
- Stay Updated: Regularly check real estate news and reports to keep abreast of market movements.
- View Multiple Options: Don’t rush your decision; viewing various properties may lead to better negotiating power.
- Engage with Local Agents: Local real estate agents can provide valuable insights and help you navigate price negotiations effectively.
Investment Returns: Case Studies
Exploring case studies of recent transactions can provide valuable insights into the real estate investment landscape:
Case Study: Successful Pricing Strategy
The case of a four-bedroom unit in YOHO MIDTOWN reflects a common theme in today’s market: strategic pricing adjustments can attract buyers even during downturns. The reduction of almost 13% highlights how well-calibrated pricing can lead to successful sales.
Case Study: Long-Term Ownership Challenges
In the Kowloon District, a significant depreciation in property value over a nine-year period showcases potential risks involved in long-term ownership without proper market analysis.
Highlighted Recent Transactions
| Location | Usable Area (sq ft) | Final Price (NT$) | Price Reduction (NT$) | Price/sq ft (NT$) |
|---|---|---|---|---|
| YOHO MIDTOWN | 938 | 12,200,000 | 1,800,000 | 13,006 |
| Wah Shan Building | 443 | 3,060,000 | 620,000 | 6,907 |
| Lam Tin Hui Jing Garden | 537 | 6,180,000 | 420,000 | 11,508 |
| Kowloon Pik Wah Garden | 1,607 | 20,800,000 | 8,200,000 | 12,943 |
| MALIBU, LOHAS Park | 804 | 13,000,000 | 1,800,000 | 16,169 |
These examples illustrate the dynamic nature of Hong Kong’s real estate market. Property purchasers and investors should seek to leverage these developments for maximizing their investment returns. The continued analysis of pricing strategies and market conditions will be essential in navigating the complexities of buying and selling property in Hong Kong.