Hong Kong's owners raise home prices, hot on the heels of Carrie Lam withdrawing city's controversial extradition bill

By Lam Ka-sing kasing.lam@scmp.com / https://www.scmp.com/property/hong-kong-china/article/3025917/hong-kongs-owners-raise-home-prices-hot-heels-carrie-lam?utm_medium=partner&utm_campaign=contentexchange&utm_source=EdgeProp | September 11, 2019 11:57 AM SGT
Some property owners have leapt for the exit as soon as Hong Kong's chief executive offered her first olive branch to defuse the worst political crisis in the city's history, raising their asking prices in the process.
Six listings for residential property increased their asking prices by between HK$100,000 and HK$300,000 (US$12,760 and US$38,270), or between 1.2 per cent and 3.4 per cent, according to figures from Hong Kong Property (Services) and Midland Realty.
A car parking space at the Le Prestige apartments in Lohas Park increased its asking price by as much as HK$250,000, or 11.1 per cent, to HK$2.5 million.
The announcement yesterday by Hong Kong's Chief Executive Carrie Lam Cheng Yuet-ngor to completely withdraw the controversial extradition bill that sparked the protests was a move the owner thought "would improve the property market's sentiment, so [the owner] raised his price," said Midland Realty's senior sales manager Kin Tong, in Tin Shui Wai, who is representing a listing at Kingswood Villas.
The asking price of the flat, measuring 548 square feet (51 square metres), was increased by HK$200,000 to HK$6 million.
"[The owners] are bullish about home prices increasing," said Ken Lau, assistant regional director in Tseung Kwan O at Hong Kong Property (Services), who is familiar with the six listings. "They are not in a hurry to sell. If the prices are not good, then they will not sell immediately and will wait for higher offers."
Prices of used homes dropped 0.7 per cent from May to July, according to figures from the Rating and Valuation Department, as sentiment was battered by the massive street rallies that started in early June, and escalations in the US-China trade war.
The timelier Centa-City Leading Index slid 0.2 per cent from the end of July to August 25.
The property market will see a rebound in turnover, with "the number of property transactions to double while sales of flats worth more than HK$10 million each will rebound," said Louis Chan, vice-chairman of Asia-Pacific and chief executive of the residential division at Centaline Property Agency.
Most homeowners have so far remained...