Park Island shows huge increases and buyers return to the market.
Below is the latest data out for Park Island property prices.
Prices on Park Island hit an all time high. This confirms my observations and what agents have been reporting.
You can see a pretty big spike reflected in the graph here. What will happen next is most likely that banks will revalue their lending valuations for Park Island upwards, leading to further increases. So for those who have been holding off to buy, now might be the time to go for it and lock in at low interest rates if possible.
Where was this data posted? As the bank valuations are showing no change yet
ReplyDeleteBruce, its here, http://hk.centadata.com/cci/estate_info_e.aspx?id=008600
ReplyDeleteI think it gets reflected in bank valuations within a week or so (or at least monthly).
I HAVE SIAD IT ALL ALONG. PRICES WILL HIT 10,000 PSF PROBABLY BY END OF 2O15
ReplyDeleteMarket certainly seems to have picked up. Lot's of buyers seem to be looking this weekend. We need to see what prices they will buy at but almost all owners have strong holding power resulting in any person who secures a purchase having to pay above market rates,
ReplyDeleteMakes sense. Yes buyers are returning but I doubt things will really pick up until the various taxed are reduced, and that will only happen when rates start to rise, which will be in 2014. So prices will rally only start to go up in 2014 onwards.
ReplyDeleteSorry, didn't finish. We are also coming off a low base for PI, so the increases now are really just playing catchup to market prices of other properties in HK.
ReplyDeleteYes, I tend to agree. Park Island is still quite "unknown" so clearly as it gets better known and people really discover how good it is overall, in terms of value and quality of living, I think Park Island would likely "catch up" or perhaps even exceed prices in other parts of Hong Kong. Indeed, its possible that as the mentality of HK'ers changes, and as HK'ers start to value things live space, facilities, peacefullness etc, Park Island could even take on an increasingly "prestigious/luxury/exclusive" reputation.
DeleteHi. Sorry to hijack but can you recommend a decent estate agent on the island? I'm keen to view Anacapri. TIA!
ReplyDeleteSCMP today 1 july highlighted the seriousness of noise polllution in HK and produced a noise map of HK Island which made interesting reading. People criticised PI for the aircraft noise but constant noise in the city is by far more damaging. More reason that make PI more attractive destination for home.
ReplyDeletehttp://www.scmp.com/comment/insight-opinion/article/1271875/noise-pollution-needs-taking-seriously
Try Tim, +852 68088950. I have received a number of independent reports that he provides exceptional service, not just in terms of getting the deal done, but also the many niggely things that need doing after a lease or sale has taken place. I am not certain, but I think he either lives on the island, or works exclusively on the island each day, so he will have a very good feel of what's on the market, prices, pros/cons of locations in the various towers, etc.
DeleteInteresting article. Yes, I have said it before, and indeed it was one of the reasons I moved to Park Island - Park Island is much quieter and more peaceful than Hong Kong Island. As someone who is quite noise sensitive, the noise on Hong Kong island was driving me nuts (both when inside the apartment, and also when out on the street).
ReplyDeleteThe reason airplane noise is even noticable at all on Park Island is that the rest of the time its so very quiet, whereas in most parts of Hong Kong there is a constant noise/hum etc that can really compromise your mental health after a period of time.
Tim lives in Tsing Yi I think but he was great with us, just a nice guy and not too pushy
ReplyDeleteIt clearly doesn't reflect on any of the banks' property valuations.
ReplyDeleteI do each months an average of HSBC/Citi/Standard Chartered/Bank of China/Heng Seng for my flat on PI. I take a snapshot every 1st of each month from those 5 banks, and look at the average i get.
1st March = 7.03M
1st April = 6.926M
1st May = 6.808
1st June = 6.828
1st July = 6.826
So basically it has been in decline over the past 5 months. 1st March was the highest ever.
Great content on this blog. I'm another person looking to buy on Park Island as soon as I get my PR 20 months away. I have narrowed down my search to Park Island, and will be able to get something substantial as my savings for the deposit will get me a pretty decent sized place.
ReplyDeleteWhat I find a little strange and worrysome is that if you look at the Centadata index, Park Island is indeed rising alot. Last week it was up over 9%. If the bank are not raising the loan valuations, the effect is that the deposit required will need to be alot more to make up to the required sales price. Does anyone know what the lag between bank valuations and recent sales transactions actually is?
I would say now is a good time too buy regardless as prices will move up in sync with valuations over time and unlike almost anwhere else there is 100% limited a restricted supply. Unlike mid levels, DB or Sai Kung where they can build more and more. On Park Island you are guranteed no more crowds or supply so that will push up prices due to demand going up but no more apartments developed.
ReplyDeleteWell as a new expat here I am struggling to accept these prices anywhere in HK. Granted Park Island is cheaper but still compared to the size you get in many parts of Australia you are paying crazy money in HK for what is essentially a box. A small box in the sky.
ReplyDeleteDude, I've been there and concluded PI was the best value for me. Yes, all of HK is little boxes in the sky, but PI you get a bit bigger box for much lesser money compared to say mid levels. We bought a few years ago, and love park island. Of course the fact that prices are increasing was a bonus but we bought to live here long term. Interest rates are so cheap in HK that its way cheaper to buy then to rent. Rent is how HK will screw you and the sooner you learn that simple fxxing fact of living in HK, the better.
DeletePark Island probably is one of if not the most best value for money in Hong Kong property at its present prices. That is not to say though that its good buy, as all of HK property is arguably overvalued. But yet if you have your heart set on owning a property in HK Park Island is very good choice. I would buy on Park Island but am already in the market in Western Mid Levels, which is also a very good area to invest in.
ReplyDeleteThe stats can be skewed by one or two transactions as volume is low. I would say from observations that prices are stagnant, not really moving up or down right now.
ReplyDelete