Hong Kong Apartment Developers get Going in May

Posted on 18 May, 2021 | By Property852

Real estate project developers, despite the market's previous dip in April, put their faith in people spending during the May Holiday weekend. A good business strategy especially with the direction the market has been taking. On May 1st in Southland, directly above the MTK station, 250 flats were made available. That number alone made up the majority of the projects that day. One Soho put up 168 units for sale landing them in second place for most flats made available on the first of May. Over that weekend 570 flats were placed for sale on the market. The results served fruitful for the developers who sought to cash in over the holiday weekend.

On Saturday alone 419 flats were sold on the first-hand market. Combined One Soho and Regency Bay's numbers shot up to 379 units sold. Due to the ongoing pandemic there had been concerns about the reality of buying and selling in the real estate market considering the percentage dip in the month prior. In total, the month of April saw a thirty-six percent decrease with a total of only 774 units sold with the majority of the sales coming from the Sun Hung Kai Properties in Regency Bay II project in Tuen Mun.

A lot of the sales from April came from the same area, the Emerald Bay Project, but that doesn't necessarily mean other projects will do well. Markets shifts and competing developers may use the opportunity to turn out business the following month. With fewer units left to sell after a good month competitors can get the leg up. During the month of April 70 units from the Emerald Bay Project were sold. The Chueng Sha Wan project was only able to sell 6 while Henderson Land sold 55. Other projects dropped lower than twenty-five units sold in April.

Despite the setback Qfang, director of Vincent Chan Kwah-hing claimed that a drop in the market during the month of April is completely normal. It was also said that many developers put a stall on projects in the month of April in order to cash in during the May holiday. Those who did clearly knew what they were doing. In the first three months of 2021 first-hand market transactions led the market but project-led promotions didn't start advertising until mid-April which contributed to the drop. Qfang believes many buyers will be making purchases in May which will increase the volume of first-hand sales.

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