In crowded Hong Kong, with its skyrocketing property prices, developers are building ever-more miniscule flats with relatively small price tags.

In crowded Hong Kong, with its skyrocketing property prices, developers are building ever-more miniscule flats with relatively small price tags.

According to the Hong Kong government’s Rating and Valuation Department, close to 83 per cent of the completed housing units this year are small units, defined as area below 753 sq ft. One-third of new homes are below 430 sq ft.

Amid sky-high property price, developers manage to built small flats ranging from about 200 to just 300 sq ft with a small lump sum below HK$4 millions given limited affordability of buyers and tightened mortgage requirement. Most of these residential units are offered as studio flats or one-bedroom flats, they are particularly popular among young professional couples, many of whom are first time buyers and are keen to move into private spaces, because they are located in railway-connected downtown areas.

Among high demand of nano flats, property investors also eye on them as rental income from them are more attractive than that of larger flats.

Extended reading:

“Nano Edition 178, the red-hot new home in Hong Kong” – EJinsight

More Related News:

  • Hong Kong developers roll out new homes to draw buyer attentionMarch 16, 2015 Hong Kong developers roll out new homes to draw buyer attention Good sales of launch increases property developers income Hong Kong developers rolled out new flats at higher prices last week after tighter mortgage rules make purchasing flats in the […]
  • More HK primary homes will launch in AugustAugust 11, 2015 More HK primary homes will launch in August HK developers continue to push out more primary flats despite HK second-hand home property is slowing down. Sun Hung Kai Properties (0016.HK) is launching 932 units at Century Link II, […]
  • Busy weeks for Home buyers in Hong KongJuly 23, 2014 Busy weeks for Home buyers in Hong Kong A studio flat at Mont Vert in Tai Po is the cheapest new home available for sale in Hong Kong, at HK$1.94 million, according to the developer's price list for the first batch of units at […]
  • China’s caps block flat price cutsMay 30, 2014 China’s caps block flat price cuts Demand of flat is weakening in mid-size cities because banks tighten mortgage lending and sales are dampened by widespread expectations of price cuts. This newly launched caps may stop the […]