Rising property values have increased our equity in our Hong Kong home. We are thinking of increasing our current home mortgage to buy a property in Britain or Canada. We are in our mid-50s and plan to repay the loan from the sale of our Wan Chai investment flat when we retire at 65. This flat is mortgaged to about 70 per cent of its value. What do you think?
To rein in the city's runaway housing prices, Hong Kong's Financial Secretary John Tsang Chun-wah announced an additional 15 per cent stamp duty on non-permanent-resident and corporate buyers starting from October 27, 2012. The move prompted speculation over the effectiveness of taxation on the real estate market and criticisms that Hong Kong was turning away from its roots as a free market economy in favour of a more protectionist market environment.