Moody’s sees Hong Kong home prices tumbling … half of Hongkongers agree
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House prices and sales of new homes will drop by up to 15 per cent in the next 12 to 18 months, according to Moody’s Investors Service
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Almost half of Hongkongers expect home prices to fall in the next year, estimating a 12 per cent drop, according to a Nielsen survey
House prices and sales of new homes will drop by up to 15 per cent in the next 12 to 18 months, according to Moody’s Investors Service
Almost half of Hongkongers expect home prices to fall in the next year, estimating a 12 per cent drop, according to a Nielsen survey
Moody’s Investors Service added itself to the chorus of voices predicting a dramatic fall in Hong Kong’s property prices on Wednesday, as a separate survey showed almost half of Hongkongers agree.
Home prices and sales of new homes will drop by up to 15 per cent in the next 12 to 18 months, taking them back to the level they were at in the fourth quarter of last year, according to the credit ratings agency.
“Emerging cases of price cuts from the secondary market of 15 to 20 per cent could eventually inspire similar discounts in the primary market,” said Stephanie Lau, vice-president and senior analyst at Moody’s Investors Service, at a media briefing on Wednesday.
Potential homebuyers are becoming more cautious amid rising mortgage rates, a slump in the stock market, and uncertainty caused by the US-China trade war, she said.
Meanwhile, a Nielsen survey found 47 per cent of Hongkongers see home prices falling by an average of 12 per cent in the next year.
The digital survey of 1,002 Hongkongers aged 18 to 65, conducted in October, was commissioned by REA Group, a global online real estate company.