Hong Kong students’ outlook hamstrung by skyrocketing house prices and lower incomes
Authors of new study say older generations cannot compare their experiences to today’s youth with graduates now facing significantly changed property market and fewer job prospects
Hong Kong’s university graduates are facing much harsher economic realities after leaving school, compared to 20 years ago, according to a new study.
A study by New Forum and New Youth Forum showed the average- sized New Territories flat now amounts to 71 per cent of a university graduate’s monthly income per square foot, up from 30 per cent in 1995.
Meanwhile, median income for fresh graduates after accounting for inflation was HK$13,916 in 2015, down 15 per cent from HK$16,371 in 1995. Property prices increased 176 per cent and rents 43 per cent, far beyond the rate of inflation.
“It is not fair at all for older people to criticise youths based on their own experiences”
The findings give further weight to longstanding concerns among youths over how high property prices, stagnating incomes and fewer high-end jobs have hamstrung social mobility and economic opportunity.
Polytechnic University community college lecturer and New Forum council member Chan Wai-keung said for those lucky enough, the only viable path to home ownership was through the help of family.
“This creates a phenomenon whereby, if parents can help with the down payment or mortgage, it becomes easier for their children’s children to become homeowners too,” he said.
