Existing homeowners in Hong Kong are increasingly contemplating what once was unthinkable — selling at a loss.
Photographer: Lam Yik/BloombergHong Kong’s Identity Crisis Fuels $270 Billion Property Wipeout
The five-year property downturn is emblematic of a steady loss of faith in the city’s status as Asia’s premier financial hub.
Even in a city famed for outsized real estate swings, Hong Kong’s deepening property slump stands out.
The home-price downturn in this packed metropolis will soon reach its five-year mark, the longest retreat since the depths of the SARS crisis more than two decades ago. When combined with losses in commercial property, at least HK$2.1 trillion ($270 billion) has been erased from real estate values in the city since 2019, according to a new analysis by Bloomberg Intelligence. Forecasters at UBS Group AG and CBRE Group Inc. predict more pain to come.