MORE Shenzhen investors are buying properties in neighboring Hong Kong despite a new decision by the SAR government to stop offering residency to non-Hong Kong homebuyers, the Guangzhou Daily reported yesterday.
The Hong Kong government on Wednesday removed real estate from its Capital Investment Entrant Scheme, set up to encourage non-Hong Kongers to invest for residency, as part of efforts to cool home prices that have jumped almost 50 percent from 2009 in the territory.
Previously, investment in the Hong Kong housing market was seen as a quick method of gaining residency.
The new move, however, hasn t scared off Shenzhen investors.
An experienced property investor, identified as Li, told the Daily he considered the Hong Kong property market more valuable than that of Shenzhen.
Although residency is no longer granted to investors who buy apartments in Hong Kong, the investment environment there is still very good, he said. You are welcome to buy as many properties as you like.
The new policy wouldn t change Shenzhen resident Wu Tai s plan to invest in property there, either.
The quality of Hong Kong s property is good. It is a good investment option, Wu told the Daily.
According to Li Yaozhi, general manager of Centaline Property, most Shenzhen investors have confidence in the Hong Kong property market. Compared to the low interest rate, rents in Hong Kong are high enough to cover the mortgage cost, Li said.
Figures showed that mainland investors accounted for 40 percent of property investors in the Hong Kong market this year, up from 20 percent during the same period last year.
(SD News)
