Hong Kong Property Market Revives as Homebuyers Flood Biggest Sales Launch in Six Months: The Impact of New Financing Rules

Hong Kong's largest property launch in half a year sees a rush of homebuyers following eased loan regulations. Over 300 out of 504 new apartments at Blue Coast II in Wong Chuk Hang and Cullinan Sky in Kai Tak were purchased on Saturday.

On Saturday, a flurry of homebuyers descended on property showrooms in Wong Chuk Hang and Kai Tak, eagerly purchasing the majority of the 504 apartments available. This marked Hong Kong's most substantial sales debut in half a year, following the monetary authority's decision to ease the city's mortgage lending regulations.

The increase in participation, encouraged by a thriving stock market, decreasing mortgage rates, and a more lenient financing cap, bolsters confidence in Hong Kong's struggling real estate market as it grapples with an excess supply.

"Both projects are anticipated to be fully purchased," stated Louis Chan Wing-kit, the head of Centaline Property Agency's residential sector. "This is due to the recent decrease in interest rates, a strong stock market, and numerous supportive actions taken by the Hong Kong government."

At Wong Chuk Hang, the site of the famous Ocean Park in Hong Kong, a purchaser spent HK$66.6 million (equivalent to US$8.6 million) on three, three-bedroom apartments and a two-bedroom unit from Blue Coast, according to Chan. The buyer's identity was not disclosed.