Bank-Owned Flat in Siu Hong Court Sold on Day One at Below-Market Price
AM730 · 1 SOURCESabout 1 hour ago2 MIN
Summary
A bank-owned two-bedroom flat in Tuen Mun's Siu Hong Court was sold for HK$2.9 million without negotiation on the same day it was listed. The 483-sq-ft unit fetched about HK$6,004 per sq ft, slightly below market rates, attracting a local investor seeking a rental yield of around 4.6% to 5%.
Key Points
- The property is located at Block I (Siu Wah Kok), extremely low floor, unit 6, Siu Hong Court, 2-22 Siu Hong Road
- Usable area measures approximately 483 sq ft with two-bedroom layout; former owner defaulted on debt, forcing the lender to take possession
- Listed price was HK$2.9 million; sold on the same day at zero negotiation with price per sq ft around HK$6,004
- Buyer is a local investor; estimated monthly rental income of HK$11,000 to HK$12,000 translates to rental yield of 4.6% to 5%
- Original owner purchased the unit in 2010 for HK$1.35 million (free market price), representing capital appreciation of HK$1.55 million or 1.1 times
- Nearby comparable units on extremely low floors start from HK$3.2 million; other two-bedroom listings generally priced between HK$3.5 million and HK$3.6 million
- Siu Hong Court was completed in 1984, comprises 20 blocks with 4,676 units total, and is adjacent to MTR Siu Hong Station
Why It Matters
The swift sale of this distressed property at below-market pricing signals continued investor appetite for high-yield residential assets in Hong Kong's New Territories. This transaction underscores how bank-owned properties continue to attract buyers seeking bargains, particularly when rental yields exceed typical deposit rates, potentially reshaping market dynamics in the secondary housing sector .
The swift sale of this distressed property at below-market pricing signals continued investor appetite for high-yield residential assets in Hong Kong's New Territories. This transaction underscores how bank-owned properties continue to attract buyers seeking bargains, particularly when rental yields exceed typical deposit rates, potentially reshaping market dynamics in the secondary housing sector .