Economics
Hong Kong Home Prices Entering Bubble, JPMorgan Says
This article is for subscribers only.
Hong Kong’s home prices may be entering a “bubble” amid a battle between surging liquidity and government efforts to cool the property market, JPMorgan Chase & Co. said.
Residential real estate values-to-gross domestic product has exceeded the island’s peak of 3.13 times in 1997 and may “overshoot” to 3.5 times next year based on the brokerage’s forecast of a 15 percent increase in home prices in 2011, analysts led by Lucia Kwong said in a report dated Dec. 10.