Hong Kong records worst weekend sales of homes since June as intensifying violence keeps buyers away

Potential buyers of Chinachem Group’s Sol City phase two development in Yuen Long are seen at the sales office at Nina Tower in Tsuen Wan, on October 28, 2018. Photo: Edward Wong
Hong Kong residential property sales on Sunday recorded their worst performance since the social unrest started in June after buyers stayed away amid intensifying protests.
Only four out of 144 units at Chinachem Group's Sol City development in protest hotspot Yuen Long were sold as of 6pm, according to agents. Less than 10 potential buyers were at the sales office at Nina Tower in Tsuen Wan when sales commenced at 10am.
Another new project, Crescent Green, launched by Road King Infrastructure in the same district on Friday fared poorly as only 29 out of 67 units were sold.
Two weeks earlier, on November 2 and 3, only 35 per cent of 435 units offered by five developers found buyers.
"Most of the clients are in no mood to venture out because of safety concerns and traffic disruptions as the clashes between protesters and police have escalated in the past few days," said Sammy Po, chief executive of Midland Realty's residential department. "It is the poorest weekend sales performance since June."
The disappointing sales came even after Chinachem raised the discount to 13.5 per cent from 7 per cent for buyers who opt to complete the deal after the project's likely completion in July, to help them take advantage of the relaxed mortgage lending rules and compete with the secondary residential market. The discount for cash buyers is slightly higher at 15 per cent.
Construction on Chinachem Group's Sol City residential project in Yuen Long as of July 2018. Photo: Roy Issa
Chief Executive Carrie Lam Cheng Yuet-ngor in her policy address last month announced an easing of mortgage lending rules to help first-time buyers get on the property ladder in the world's most expensive market to own a home. According to the new rule,...