Since the border reopening early this year, Hong Kong residents have been visiting Shenzhen in the weekend to enjoy low-priced food and beverages. This popular trend has transformed Hong Kong people's lifestyle now and then. This budget-conscious individuals are also like to participate free of charge touring the showroom of new premises. Part of them finally decided to purchase in these new nice-decorative homes.
Until recently, there have been numerous reports of unfinished real estate projects in China, resulting in domestic investors not eager to enter the market in recent months. Due to not much domestic buyers, mainland developers have turned their marketing targets to Hong Kong citizens. Therefore, the large-scale marketing campaign has been launched since the earlier of this year.
The writer had issued an article earlier in mid-March of this year, revealing that the re
sidential users should prefer renting rather than purchasing. However, one of the writer's friends did not appreciate the implication of this article. He bought a RMB two million luxury apartment in Zhongshan three months ago. When this deal was completed, he even stated that he could purchase a luxury house with a golf course view for the cost of a parking space in Hong Kong. Once again, he said, “What more can he ask for?”
At present, a large number of developers had been offering price reductions in various projects on various districts of Zhongshan. The price cut range was between
thirty to fifty per cent. Unfortunately, the similar units of my friend’s newly purchased in the same estate fell in the price cutting list. In addition, the price cut was up to 50%.
When the writer heard this news, I really had nothing to say. My friend's unit had devalued RMB one million in a split second. When we met again in a banquet a few days ago, my friend was very embarrassed. We attempt to talk about the matter other than China property market.
In the past, mainland developers can only reduce the sales price at the level specified by the government. However, the relevant restrictions have been lifted recently. With the new set rule, developers in Zhongshan rushed to launch projects at lower prices. The price reduction was unprecedentedly high. Local people even made a joke by saying to purchase a residential unit one year later will save you ten years of working. Does this price adjustment of the domestic property market have been completed? The writer does not have a clue. No matter what, let us wait and see until next year.
