Hong Kong Homes Face Rising ‘Negative Equity,’ Barclays Says
This article is for subscribers only.
The rising number of Hong Kong homeowners with apartments worth less than their mortgages may further hurt sentiment already damped by the global equity rout and government curbs, according to Barclays Capital Research.
The estimated number of mortgages in “negative equity” jumped to 1,653 at the end of the third quarter from 48 three months earlier, with the value of those loans rising to HK$4.1 billion ($528 million) from HK$58 million, the Hong Kong Monetary Authority said Oct. 28. An index tracking the city’s developers fell today.