Insufficient transparency of individual first-hand buildings

Transport Bureau: Insufficient transparency of individual first-hand buildings

The new bidding price is not transparent, causing public concern. The Secretary for Transport, Mrs Chan, said that the Administration is following up on the new tender. It is suspected that some developers have breached the first-hand residential sale Ordinance. They are also required to provide the developer with all the details of the payment terms on the transaction register. Legislative Council Member Yin Zhaojian blamed the 300-party bidding unit for “unacceptable" and suggested that the following units be prohibited from bidding. Scholars have criticized the new tender for “trusting the market" and considered that the contract price and the discounted price should be included in the register.

The new tenders were sold as a trend. Even small and medium-sized households with 300 square meters were also invited to tender. In the past, only the practice of tendering for luxury homes was changed. Some of the new tenders were offered with rebates, but the discounted prices were not available at the Land Registry. Open, it is doubtful that developers are taking the opportunity to raise property prices.

Promote the deal to list payment details

The Secretary for Transport and Housing, Mr Stephen Chan, said in the Legislative Council’s Finance Committee yesterday that it was noted that there were some new tenders for sale in the near future. The transparency was insufficient. The first-hand sales bureau found that some of the new flats were in breach of the First-hand Residential Property Sale Ordinance. We are investigating. Chen Fan pointed out that the SFC will issue a “Reminder to the Industry" requesting the seller to list all the details of the payment terms in the transaction register so that the buyer can grasp the market conditions.

At the same time, the Estate Agents Authority is conducting an investigation to provide a reminder to the estate agents to ensure that the estates are strictly complying with the Estate Agents Ordinance and its guidelines when participating in tenders. The Government will continue to closely monitor the sale of first-hand residential properties by tender and take any practicable measures as necessary to ensure the transparency of the tender offer in line with the first-hand residential properties which are available for sale on the price list.

In the new tender, the Vice Chairman of the Legislative Council Housing Committee, Yin Zhaojian, said that the tender price of the new tender involved many rebates and other concessions. The real price was not reflected. The problem included that the consumers did not have enough information to buy the property unfairly; “More serious is that it may involve the issue of the price. If this happens in the stock market, it will be like a market-making, but the current property market cannot be restricted." He criticized that small and medium-sized self-occupied properties should not be tendered, and should be clearly priced. Ways to sell, it is recommended to prohibit the sale of 1,600 square meters of the following units.

Scholar: Tender is suspected in the market

Chung Wah-wah, director of the Social Policy Research Centre of the Department of Applied Social Sciences of the PolyU, said that Chen Fan had earlier warned that the real estate business should be “self-disciplined" on the issue of new sales. However, there was no immediate response after the business meeting. It is obvious that the business sector does not think that the problem is serious. The singularity of the new tenders and the rebate issue have made the difference between the contract price and the discounted price of the unit very large. The developers are obviously “out of the box". This is contrary to the original intention of the first-hand sales Ordinance.

Regarding Chen Fan’s mention of the sales details on the new trading register, Mr Chung said: “If the tender is sold, the developer should list the unit contract price and the discounted price on the transaction register."

In addition, it should also specify how many tenders and tenders the unit has in order to prevent developers from using