Developer’s K1.69bil one-day sellout of flats


World Finance & Economy
Image for illustration only. For image text, go to https://www.scmp.com/property/hong-kong-china/article/2183539/analysts-change-their-tune-forecast-15-cent-increase-hong (Analysts change their tune, forecast an up to 15 per cent increase in Hong Kong home prices this year)

Developer’s K1.69bil one-day sellout of flats

PORT MORESBY: It is every property developer’s dream but it can only happen in Hong Kong (HK).

Imagine launching a housing project consisting of 500 flats and all are sold in a day with a haul of HK$4 billion (K1.69 billion)!

According to a South China Morning Post news feature, HK’s property market has 10 more years of bull run.

Read on for the details:

Companies
Hong Kong’s property market has 10 more years in its bull run as population inflow from Greater Bay gives it sustenance

· Hong Kong’s median home prices will keep spiralling upwards for the next 10 years because demand for abodes will outpace supply in the city, UBS said

· The world’s most expensive urban centre will face an annual shortage of about 15,000 homes, UBS said

Sandy Li
Cheryl Arcibal
Published: 12:00pm, 9 May, 2019
Wheelock Properties sold every one of its 500 Montara flats in Lohas Park on 4 May 2019, with 36 buyers competing for every available unit. The developer’s haul for the day was HK$4 billion, setting a record for a one-day turnover. Photo: Edmond So
Hong Kong’s property bull market has another 10 years to run, as housing supply fails to keep up with the new population pouring in from the Greater Bay Area, said the Swiss bank UBS, which correctly picked the bottom in the city’s short-lived price correction last year.

Home prices will continue spiralling upwards as buyers compete to get their hands on residential property, according to the bank’s real estate research team, led by John Lam. Hong Kong’s annual housing stock is estimated at 45,000 homes a year, 25 per cent short of UBS’ calculation.

“Our analysis based on demographics and non-local demand suggests annual housing demand would stand at 60,000 units,” Lam said. The Greater Bay Area, a cluster of 11 southern Chinese cities including Hong Kong and Macau, “should enhance integration [within] the area through improving software and hardware, lowering transaction costs and boosting economic activity. We believe this will benefit Hong Kong property.”

UBS isn’t alone with the bullish forecast. Moody’s Investors Service said Hong Kong’s home prices would rise between 8 per cent and 10 per cent over the next 12 to 18 months, revising its earlier estimates of a drop of up to 15 per cent, with its vice-president Stephanie Lau predicting median home price to surpass its July 2018 record.

The forecasts by UBS and Moody’s pose a policy challenge for Hong Kong’s Chief Executive Carrie Lam Cheng Yuet-ngor and her administration, which have made affordable housing a key policy objective.

Hong Kong’s government may give the city’s subway operator and the urban redevelopment authority a greater role to provide affordable housing, such as turning more urban projects into subsidised homes, and reserving sites along rail lines for public housing, Financial Secretary Paul Chan Mo-po said in an interview with South China Morning Post.

Comments

Post a Comment

Popular posts from this blog

Growing unemployment rate in Papua New Guinea

Image
News that matter in Papua New Guinea Growing unemployment rate in Papua New Guinea (Employment stagnant since 2014) PORT MORESBY: Employment in Papua New Guinea (PNG) has remained stagnant since 2014 with millions of unemployed looking for jobs. The formal job market currently can only accommodate between 400,000 and 500,000, Institute of National Affairs executive director Paul Barker says. “As more young people enter the job market this year after graduating from tertiary institutions and schools, the chances of securing formal employment is slim. “Employment had remained stagnant despite the increase in potential workers coming out of educations institutions,” he added. Read on for more details as published by The National : Hard to get jobs January 27, 2022 The National Main Stories By DALE LUMA MILLIONS of eligible workers around the country are looking for jobs in the formal sector, which currently can ...
Read more

Sugu Valley tribal war death toll rises to at least 30

Image
News that matters in Papua New Guinea Armed tribal warriors on the move in Sugu Valley. Sugu Valley tribal war death toll rises to at least 30 PORT MORESBY: At least six tribes have been fighting in Sugu Valley (Kagua-Erave, Southern Highlands) since Feb 10, 2019, without any signs of an end and peace. In fact, the death toll has risen to at least 30, up from 11 on May 23, 2019, and the opening of a new battlefront in Sumbura near Poroma with multiple deaths reported in 24 wards. Armed tribal warriors on the march into the forests and jungles. PNG Cyber Monitor had on a May 25, 2019, posting ( https://pngcybermonitor.blogspot.com/2019/05/real-life-rifles-bows-and-arrows-bloody.html Real life rifles, bows and arrows bloody fights in PNG ) highlighted the bloody battle waged by tribal warriors armed with rifles, bows and arrows and knives. PNG Cyber Monitor is again highlighting the plight of the villagers who have been living in fear as reported by The Nationa...
Read more

Sorcery shame for Papua New Guinea in X’mas

Image
News that matter in Papua New Guinea Sorcery tortures and violence are still being practised in Papua New Guinea in this 21st Century digital era. Sorcery shame for Papua New Guinea in X’mas PORT MORESBY: It was international shame for Papua New Guinea (PNG) this Christmas when sorcery reared its ugly head. Six women were stripped, bound to poles and burnt with hot knives as they screamed in pain, watched by an unsympathetic crowd. In a video that has gone viral in the internet, the women were accused of practising sorcery in Southern’s Enga. Police Comm David Manning described the sorcery torture as vile, inhumane, uncivilised, void of any human decency. “Papua New Guinea cannot progress without letting go of these horrific traditional beliefs. We have launched an urgent probe into the incident in Aiya’s Pawayamo village in Kagua-Erave.” The news break was published by The National : Horror torture of women Decem...
Read more