Hong Kong’s property market may be shifting to “a more sustainable path” after extra measures to curb speculation, the International Monetary Fund said.
Low interest rates, an insufficient supply of houses, ample liquidity and demand from mainland Chinese buyers have fueled price rises, the IMF said in a report today. It “fully supports” the latest curbs.
Hong Kong policy makers see property-price bubble risks as U.S. monetary easing contributes to capital inflows. The city added taxes and raised down-payment requirements on Nov. 19, intensifying a campaign to cool the market.
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