news

HK mortgage loans in negative equity fall in Q4 2009

HONG KONG: The estimated number of residential mortgage loans (RMLs) in negative equity in Hong Kong fell 44 percent to 466 cases at the end of December from 835 cases at the end of September as property prices rose, data from the Hong Kong Monetary Authority showed.

The aggregate value of RMLs in negative equity declined to HK$700 million ($89.7 million) at the end of December, from HK$1.5 billion in September.

The unsecured portion of these loans decreased to HK$100 million from HK$200 million three months earlier.

The three-month delinquency ratio of mortgages in negative equity fell to 0.57 percent from 0.82 percent at the end of September.

Loans in negative equity means the outstanding loan amount exceeds the market value of the mortgaged property. After a property market crash a decade ago, negative equity cases hit a record 106,000 cases in June 2003. ($1=HK$7.8). - Reuters

Looking for properties to buy or rent? With >150,000 exclusive listings, including undervalued properties, from vetted Pro Agents, you can now easily find the right property on Malaysia's leading property portal EdgeProp! You can also get free past transacted data and use our proprietary Edge Reference Price tool, to make an informed purchase.
SHARE