Hong Kong is among the fast-rising metropolitan cities in Asia, making it the target location for a lot of mainland Chinese who come to work in the different sectors in the city, which includes the banking, law, and finance industries. Composed of more than 250 islands, the city was formerly a British colony. Now, Hong Kong is considered as the center of Asia, making the tourist activities rise to a considerable level and making the city a point of entry for China.
Among the challenges for new comers to the city is the best way to discover cost-effective accommodation. It could be fairly tough coming to a place where you do not understand the local language and have any concept on the housing regulations and laws. In this write-up, expatriates coming to Hong Kong will get an idea on locating the proper type of locations which will make their stay in the city suitable and pleasant.
Firstly, what types of apartments are available? There are many kinds according to whether or not you're searching for short or long term accommodation.
Serviced Apartments
These apartments are generally targeted to corporate travelers who are trying to stay in Hong Kong for less than a year. Usually, the minimum lease is 1 month and you have to pay down 1 months deposit on the lease. The advantages are that everything is supplied to suit your needs, from maid service, to linens and Internet. You get the apartment cleaned on a daily or weekly basis. The disadvantage is the fact that the apartments have a tendency to be small and costly given that they target the corporate market.
Old Hong Kong Buildings
The majority of the old Hong Kong buildings that offer accommodations are more than 30 years old and are situated in the older suburbs, for example the Sai Wan and Sheung Wan, the suburbs that you can find to the east of Central. The apartments here have a tendency to be fairly big and space-efficient provided their age, nonetheless, generally the exterior of the building isn't really desirable and also you may have trouble getting finance from a bank in case you are seeking to purchase one.
New Hong Kong Buildings
Among the many assets of Hong Kong, provided its higher density, is space. But, these previous few years, there have been numerous new developments in the real estate sector of the city. New apartments may cost fairly a fortune especially that Hong Kong properties are presently highly valued in the market. You can count on to pay a premium once you rent and purchase. Obviously the apartments are a lot nicer, newer and have better finishing. But, if you'd like greater space efficiency, these apartments might not be right for you.
So as soon as you've decided on an apartment, how do you go about renting it?
Right here is a list of FAQs and must knows just before you lease an apartment.
When searching for an apartment, it's best to seek the aid of a real estate agent. Even though you have to spend a commission (the renter and the landlord each pay the agent a months rent as commission), they generally have access to plenty of apartment in hong kong that you wouldn't otherwise know about. But, in Hong Kong, when you sign the lease on the apartment, all of the dealings concerning the rent will be directly made to the landlord and not to an agent any longer. If there will be any issues with regards to the rent and structural problems of the apartment, you will need to go over it directly with the landlord.
Agreement on the Lease and the Duration. In Hong Kong, the lease usually goes on for two years with a 1-year break clause. This implies that right after the 1 year and 1 month (13 months) period, each the landlord and the renter can decide whether or not to terminate the lease agreement. Both parties can also add any modifications or other conditions that they may want to add to the agreement. And, in instances when you need to terminate your lease, you need to provide a notice two months just before your planned leave.
Size of the apartment. Note that apartment sizes in Hong Kong are quoted in gross and net. Gross implies the total apartment size such as typical area space allocated to your apartment (i.e. portions of the lift, window sill, gym and so forth). The net size means the actual net size of the apartment. When determining the apartment size, it is best to contemplate the net size.
Stamp Duty. If you are planning to get an apartment in Hong Kong, you must be aware of the stamp duty charges that is include with it. Hong Kong has rules with regards to the stamp duty charges, and over the years, these rules have become much more complex. To start with, there's the normal stamp duty which ranges in between 1-7%. Just lately, the Hong Kong government introduced the foreigner stamp duty for 15%, that is targeted for non-local residents looking to acquire a property in the city. Apart from this, you must also pay for the special stamp duty. If you sell your house in two years' time, you must spend an additional 15% tax from the sale you acquired.
If you are a foreigner, the worst case scenario right here is paying up to 37% tax if you're selling and getting properties in Hong Kong in a brief time period. These aggressive tax measures were implemented to try to stem the current property bubble which is mostly due to Mainland Chinese getting apartments in Hong Kong. I wish you all of the best in your search for an excellent property in Hong Kong!
Among the challenges for new comers to the city is the best way to discover cost-effective accommodation. It could be fairly tough coming to a place where you do not understand the local language and have any concept on the housing regulations and laws. In this write-up, expatriates coming to Hong Kong will get an idea on locating the proper type of locations which will make their stay in the city suitable and pleasant.
Firstly, what types of apartments are available? There are many kinds according to whether or not you're searching for short or long term accommodation.
Serviced Apartments
These apartments are generally targeted to corporate travelers who are trying to stay in Hong Kong for less than a year. Usually, the minimum lease is 1 month and you have to pay down 1 months deposit on the lease. The advantages are that everything is supplied to suit your needs, from maid service, to linens and Internet. You get the apartment cleaned on a daily or weekly basis. The disadvantage is the fact that the apartments have a tendency to be small and costly given that they target the corporate market.
Old Hong Kong Buildings
The majority of the old Hong Kong buildings that offer accommodations are more than 30 years old and are situated in the older suburbs, for example the Sai Wan and Sheung Wan, the suburbs that you can find to the east of Central. The apartments here have a tendency to be fairly big and space-efficient provided their age, nonetheless, generally the exterior of the building isn't really desirable and also you may have trouble getting finance from a bank in case you are seeking to purchase one.
New Hong Kong Buildings
Among the many assets of Hong Kong, provided its higher density, is space. But, these previous few years, there have been numerous new developments in the real estate sector of the city. New apartments may cost fairly a fortune especially that Hong Kong properties are presently highly valued in the market. You can count on to pay a premium once you rent and purchase. Obviously the apartments are a lot nicer, newer and have better finishing. But, if you'd like greater space efficiency, these apartments might not be right for you.
So as soon as you've decided on an apartment, how do you go about renting it?
Right here is a list of FAQs and must knows just before you lease an apartment.
When searching for an apartment, it's best to seek the aid of a real estate agent. Even though you have to spend a commission (the renter and the landlord each pay the agent a months rent as commission), they generally have access to plenty of apartment in hong kong that you wouldn't otherwise know about. But, in Hong Kong, when you sign the lease on the apartment, all of the dealings concerning the rent will be directly made to the landlord and not to an agent any longer. If there will be any issues with regards to the rent and structural problems of the apartment, you will need to go over it directly with the landlord.
Agreement on the Lease and the Duration. In Hong Kong, the lease usually goes on for two years with a 1-year break clause. This implies that right after the 1 year and 1 month (13 months) period, each the landlord and the renter can decide whether or not to terminate the lease agreement. Both parties can also add any modifications or other conditions that they may want to add to the agreement. And, in instances when you need to terminate your lease, you need to provide a notice two months just before your planned leave.
Size of the apartment. Note that apartment sizes in Hong Kong are quoted in gross and net. Gross implies the total apartment size such as typical area space allocated to your apartment (i.e. portions of the lift, window sill, gym and so forth). The net size means the actual net size of the apartment. When determining the apartment size, it is best to contemplate the net size.
Stamp Duty. If you are planning to get an apartment in Hong Kong, you must be aware of the stamp duty charges that is include with it. Hong Kong has rules with regards to the stamp duty charges, and over the years, these rules have become much more complex. To start with, there's the normal stamp duty which ranges in between 1-7%. Just lately, the Hong Kong government introduced the foreigner stamp duty for 15%, that is targeted for non-local residents looking to acquire a property in the city. Apart from this, you must also pay for the special stamp duty. If you sell your house in two years' time, you must spend an additional 15% tax from the sale you acquired.
If you are a foreigner, the worst case scenario right here is paying up to 37% tax if you're selling and getting properties in Hong Kong in a brief time period. These aggressive tax measures were implemented to try to stem the current property bubble which is mostly due to Mainland Chinese getting apartments in Hong Kong. I wish you all of the best in your search for an excellent property in Hong Kong!
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