Hong Kong Apartments have always been on the small side but the trend for micro apartments is still on the rise.
Property sales have resumed in Hong Kong with one of the largest property sales scheduled for the weekend since protests began against the extradition bill in early June 2019. Six developers will be selling 817 flats during the sale including the smallest Hong Kong apartments. According to a senior executive of Centaline Property Agency, Louis Chan, the demand for property has improved after the trade war tensions between United States and China reduced due to the G-20 summit. Also the local banks are likely to reduce their prime rate since the US Federal Reserve is expected to cut the interest rate.Embed from Getty Images
On Sunday, Stan Group and Jiayuan group will be offering 344 units of size ranging from 128 to 387 square feet in their project at Tuen Muen named T-plus for sale. This includes twelve of the smallest flats for sale in Hong Kong with an area of only 128 square feet, which is smaller than the space for car parking. These small flats are designed for those who are purchasing a home for the first time, they would otherwise require a Hong Kong apartment for rent. 12000 people have registered their interest in purchasing these flats, which is one of the highest in this year. Property experts believe that the flats will sell easily.
The 128 sq.ft flat is priced at HK $1.74 million with a per square foot rate of HK$13,577. This is one of cheapest small Hong Kong apartments for sale since CK Asset Holding sold units of size 165 sq.ft. at Mont Vert in the Tai Po area for HK $1.65 million in 2014.The T-plus project has only 20 units costing less than $2 million for sale, and agents claim that they may be having 30 units in the same price range for their staff. According to Midland realty, one bedroom and studio apartments are the most popular category for Hong Kong apartments. It is estimated that 79.2 percent of the 2972 units sold in Hong Kong in 2019 belong to this category.
Inexpensive flats priced at HK $15,000 are also popular among property buyer and formed 41.3% of the sales in 2019. Other developers who are selling flats during the sale are China Overseas Land and investment with 332 units, Wing Tai with 110 flats, K.Wah International, Sung Hung Kai Properties and New World Development. The Inland revenue department has released information which indicates that the number of buyers who are charged double stamp duty declined by 43% to 331 in June 2019 due to the trade war and other reasons. Home owners who purchase a second Hong Kong apartment are charged a higher stamp duty.