Trade war truce lifts confidence for Hong Kong's homebuyers, bolstering sales at the third-biggest weekend launch of 2019

By Xie Yu yu.xie@scmp.com / https://www.scmp.com/business/article/3016623/trade-war-truce-lifts-confidence-hong-kongs-homebuyers-bolstering-sales?utm_medium=partner&utm_campaign=contentexchange&utm_source=EdgeProp | July 2, 2019 11:51 AM SGT
Hong Kong''s third-largest weekend sales of residential property this year got off to a good start, as homebuyers piled into the market ahead of a property bull run that may be regaining its paces.
Sentiments were also bolstered by the truce in the year-long US-China trade war, as the presidents Donald Trump and Xi Jinping agreed at the G20 meeting in Osaka to resume negotiations.
Up to 460 flats, or about 90 per cent of the 504 units of Grand Montara on offer by Wheelock Properties were sold in Tseung Kwan O as of 9:30pm, according to sales agents.
"More bidders showed up in the afternoon, compared to the morning, very likely boosted by positive news from the trade talks at the G20 between China and the US," said Louis Chan Wing-kit, vice-chairman for Asia-Pacific at Centaline, adding that he expects Grand Montara to sell out by the day's end.
Wheelock Properties sold all of the 500 flats at the Montara development at Lohas Park in Tseung Kwan O on May 4, 2019. Photo: SCMP / Edmond So. alt=Wheelock Properties sold all of the 500 flats at the Montara development at Lohas Park in Tseung Kwan O on May 4, 2019. Photo: SCMP / Edmond So.
Grand Montara received 7,800 bids for the 504 units on offer, or an average of 15 bids for every available flat, the second-highest registration of interest this year among sales launches. The project is popular, after the launch of its earlier phase Montara sold out last month.
To drum up interest, Hong Kong developers had been cutting prices. Grand Montara's developer Wheelock Properties offered average discounts of up to 5 per cent on 101 flats, selling them for HK$13,999 per square foot.
The buoyant sentiment spilled over to Tuen Mun, where Sun Hung Kai Properties sold half of the 38 Mount Regency flats on offer. The developer is likely to sell all the remaining units, Centaline's Chan said.
Prospective buyers at the sales office of Wheelock Properties vying for 504 units of Grand Montara at Lohas Park in Tseung Kwan O on 29 June, 2019. Photo: SCMP / Jonathan Wong alt=Prospective buyers at the sales office of Wheelock Properties vying for 504 units of Grand Montara at Lohas Park in Tseung Kwan O on 29 June, 2019. Photo: SCMP / Jonathan Wong