New World Development (NWD) and CK Asset Holdings on Thursday became the first two developers to announce property sales after interest rates were lowered, with analysts saying the move would boost transactions but not prices due to elevated supply.
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NWD said all 120 units at House Muse in Kowloon City would go on sale on Friday. It is the first new residential project to be launched after the Hong Kong Monetary Authority (HKMA) cut rates for the first time this year, bringing down the cost of funding and reducing the burden on mortgage borrowers.
NWD said it would offer 115 units for sale at an average price of HK$18,251 (US$2,350) per square foot after discounts, and five by tender.
Li Ka-shing’s CK Asset is selling the last 70 units at Blue Coast II in Wong Chuk Hang on Friday. Thirty-two units are priced at an average discounted price of HK$22,684 per square foot, and the rest will be available by tender. The units on sale are priced from HK$10.2 million to HK$20.2 million.
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How Hong Kong’s housing market became among the world’s most unaffordable
How Hong Kong’s housing market became among the world’s most unaffordable
The HKMA on Thursday reduced the city’s base rate by a quarter point to 4.5 per cent – the lowest since December 2022, matching the US Federal Reserve’s overnight cut, which took the rate to a range of 4 to 4.25 per cent.
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