Sheung Shui’s Royal Green owner suffers loss in post-cooling measure era, two-bedroom flat sells for 7.7% below valuation at HK$4.3m


3rd March 2024 – (Hong Kong) In the wake of Hong Kong’s recent budget announcement to fully withdraw property market cooling measures, not all secondary market transactions are yielding profits for homeowners. A two-bedroom apartment at Royal Green, located at 18, Ching Hiu Road, Sheung Shui, has just sold for a loss, underscoring the variable impact of policy changes on property owners.

The apartment, located in Block 2 of the Royal Green complex, was sold off at a loss of HK$450,000 by the owner who had held the property for seven years. The sale, brokered by Jeff Wong at Midland Realty, settled at HK$4.3 million—a 7.7% decrease from the market valuation.

Originally purchased in October 2017 for HK$4.75 million, the owner was compelled to liquidate the asset due to immediate cash needs. Initially listed for HK$4.4 million, the asking price was slightly reduced, and the property eventually changed hands for HK$4.3 million or HK$11,559 per square foot, for the 372-square-foot living space.

The new buyer demonstrated a decisive market entry, viewing the property by noon and finalising the purchase by midnight of the same day. The transaction reflects a 14% price drop over a six-month period, compared to a similar unit which sold for HK$5 million mid-last year.

Bank valuations from Bank of China and Hang Seng Bank estimated the apartment’s value at HK$4.66 million and HK$4.41 million, respectively, indicating a 2.5% to 7.7% discrepancy between the estimated value and the actual sale price.